The Appellate Division has upheld a “responsible person” sales tax assessment against a sole shareholder who is the wife of the chief executive officer of a bankrupt Manhattan restaurant business. Matter of Luongo v. Tax Appeals Trib., No. 515599 (3d Dep’t May 22, 2014). Although the court found that Mrs. Luongo did not control the day-to-day operations of the business, sign checks, or assist in preparing tax returns, as the sole shareholder she retained considerable authority over the business, including the authority to remove her husband as the sole director and CEO. The Court noted in particular that she alone signed the application for registration as a sales tax vendor. Thus, the court found that there was substantial evidence to support a determination that she was a responsible person with a duty to collect and remit sales tax.