N.Y. GCM Law § 61 — New York Code / Act GCM / Part 5 / Section 61
Tax on transportation corporations and associations
Status: in_force

§ 61. Tax on transportation corporations and associations.  1. The\nterm "corporation" as used in this part shall include any business\nconducted by a trustee or trustees wherein interest or ownership is\nevidenced by certificates or other written instruments.\n  2. For the privilege of doing business or of holding property in the\ncity every corporation, joint stock company or association formed for or\nprincipally engaged in the conduct of aviation, steamboat, ferry (except\na ferry company operating between any of the boroughs of the city under\na lease granted by the city), or navigation business, or formed for or\nprincipally engaged in the conduct of two or more of such businesses,\nexcept a corporation, joint stock company or association subject to\ntaxation under a local law of the city imposed on utilities and vendors\nof utility services, shall pay, in advance, an annual tax to be computed\nupon the basis of the amount of its capital stock within the city during\nthe preceding year, and upon each dollar of such amount.\n  3. The measure of the amount of capital stock in the city, except as\nhereinafter provided, shall be such a portion of the issued capital\nstock as the gross assets, exclusive of obligations issued by the United\nStates and cash on hand and on deposit, employed in any business within\nthe city, bear to the gross assets, exclusive of obligations issued by\nthe United States and cash on hand and on deposit, wherever employed in\nbusiness. Provided, however, that in the case of a corporation taxable\nhereunder only for the privilege of holding property, the measure shall\nbe such a portion of the issued capital stock as the gross assets,\nexclusive of obligations issued by the United States and cash on hand\nand on deposit, located within the city, bear to the gross assets,\nexclusive of obligations issued by the United States and cash on hand\nand on deposit, wherever located. The capital of a corporation invested\nin the stock of another corporation shall be deemed to be assets located\nwhere the assets of the issuing corporation, other than patents,\ncopyrights, trademarks, contracts and good will, are located.\n  4. Every corporation, joint stock company or association subject to\ntaxation under this section shall, in any event, pay annually a minimum\ntax of not less than ten dollars nor less than one mill on each dollar\nof such a portion of the net value of its issued capital stock, which\nnet value for the purposes of this section shall be deemed to be not\nless than five dollars per share, as may be determined upon such of the\nbases herein provided for the measurement thereof as is applicable. The\nterm "net value" as used in this section shall be construed to mean not\nless than the difference between a corporation's assets and liabilities,\nand not less than the average price at which such stock sold during the\nyear covered by the report which forms the basis for the tax. But if the\ndividends paid on the par value of any kind of capital stock during any\nyear ending with the thirty-first day of December amount to six or more\nthan six per centum, the tax upon such kind of capital stock shall be at\nthe rate of one-quarter of a mill for each one per centum of dividends\npaid and shall be computed upon the par value of such capital stock,\nunless such a tax be less than the minimum tax hereinbefore provided in\nthis section and the director of finance shall, for such purpose, make a\nfair and equitable apportionment of the assets of the corporation, joint\nstock company or association, between or among the different kinds of\nstock.\n  5. If such corporation, joint stock company or association shall have\nmore than one kind of capital stock, and upon one of such kinds of stock\na dividend or dividends amounting to six or more than six per centum\nupon the part value thereof, has been paid, and upon the other no\ndividend has been paid, or the dividend or dividends paid thereon amount\nto less than six per centum upon the par value thereof, then the tax\nshall be fixed upon each kind as hereinbefore provided.\n  6. The dividend rate for a corporation having stock without nominal or\npar value shall be determined by dividing the amount paid as a dividend\nor dividends during the year by the amount paid in on such stock and, if\nthe rate is six per centum or more, the rate of one-quarter of a mill\nfor each one per centum of dividends shall be applied to the amount paid\nin on such stock, unless such tax be less than the minimum tax\nhereinbefore in this section provided for. Any consideration given by a\ncorporation for the purchase of its own stock in excess of the\nconsideration received by it for the issuance of such stock shall for\nthe purposes of this section, be considered as a dividend.\n  7. The owning or holding in the city by any corporation of property,\nother than property exclusively in interstate or foreign commerce, shall\nconstitute carrying on business within the city within the intent of\nthis section, except that a corporation having no property in the city\nother than a bank balance or stocks or bonds, or one of more of such\nkinds of property, either held for safe keeping or pledged as collateral\nsecurity shall not be taxable under this section, and further provided\nthat any corporation having only office furniture or fixtures, a bank\nbalance, and stocks or bonds pledged as collateral security or merely\ndeposited for safe keeping, shall not be taxable under this section.\n  8. The measure of the amount of capital stock in the city of an\naviation corporation shall be a portion of the issued capital stock\ndetermined by applying thereto the arithmetical average of the following\nthree ratios: (a) the ratio which the aircraft arrivals and departures\nwithin the city scheduled by any such corporation during the preceding\ncalendar year bear to the total aircraft arrivals and departures within\nand without the city scheduled by it during the same period, provided\nthat in the case of non-scheduled operations all arrivals and departures\nshall be substituted for scheduled arrivals and departures; (b) the\nratio which the revenue tons handled by such corporation at airports\nwithin the city during the preceding calendar year bear the total\nrevenue tons handled by it at airports within and without the city\nduring the same period; and (c) the ratio which such corporation's\noriginating revenue within the city for the preceding calendar year\nbears to its total originating revenue within and without the city for\nthe same period. As used in this section, the term "aircraft arrivals\nand departures" means the number of scheduled landings and takeoffs of\nthe aircraft of an aviation corporation, and the number of scheduled air\npickups and deliveries by the aircraft of such corporation, and in the\ncase of non-scheduled operations shall include all landings and\ntakeoffs, pickups and deliveries; the term "originating revenue" means\nrevenue to any such corportion from the transportation of revenue\npassengers and revenue property first received by such corporation\neither as originating or connecting traffic at airports; and the term\n"revenue tons handled" by any such corportion at an airport means the\nweight in tons of revenue passengers (at two hundred pounds per\npassenger) and revenue cargo first received either as originating or\nconnecting traffic or finally discharged by such corporation at such\nairport.\n  9. The measure of the capital stock in the city of a corporation\nengaged in the operation of vessels in foreign commerce shall be such\nportion of the issued capital stock as the aggregate number of working\ndays in territorial waters of the city of all such vessels bears to the\naggregate number of working days of all such vessels. The dividend rate\nfor such a corporation shall be determined by dividing the amount paid\nas a dividend or dividends on all classes of stock during the year by\nthe amount of paid-in capital and, if the rate is six per centum or\nmore, the rate of one-quarter of a mill for each one per centum of\ndividends shall be applied to the amount of such paid-in capital.\n