2023 New York Laws › TAX - Tax › Article 9-A - Franchise Tax on Business Corporations › 211 - Reports.

§  211.  Reports.  1. Every taxpayer shall annually on or before March
fifteenth,  for  taxable  years  beginning  before  January  first,  two
thousand sixteen, and annually on or before April fifteenth, for taxable
years  beginning  on  or  after  January  first,  two  thousand sixteen,
transmit to the commissioner a  report  in  a  form  prescribed  by  the
commissioner  (except that a corporation which reports on the basis of a
fiscal year shall transmit its report within  two  and  one-half  months
after  the  close of its fiscal year, for taxable years beginning before
January first, two thousand sixteen, and on or before the fifteenth  day
of  the  fourth  month  after  the close of its fiscal year, for taxable
years beginning on or after January first,  two  thousand  sixteen,  and
except,  also,  that  a  corporation  which is a DISC shall transmit its
report on or before the fifteenth day of the ninth month  following  the
close of its calendar or fiscal year), setting forth such information as
the  commissioner  may  prescribe  and  every  taxpayer  which ceases to
exercise its franchise or to be subject  to  the  tax  imposed  by  this
article  shall transmit to the commissioner a report on the date of such
cessation or at such other time as the commissioner may require covering
each year or period for which no report was theretofore  filed.  In  the
case of a termination year of an S corporation, the S short year and the
C short year shall be treated as separate short taxable years, provided,
however,  the  due  date of the report for the S short year shall be the
same as the due date of the report for the C short year. Every  taxpayer
shall also transmit such other reports and such facts and information as
the  commissioner may require in the administration of this article. The
commissioner may grant a reasonable extension of time for filing reports
whenever good cause exists.
An automatic extension of six months for  the  filing  of  its  annual
report  shall  be allowed any taxpayer if, within the time prescribed by
the preceding paragraph, such taxpayer files with  the  commissioner  an
application for extension in such form as the commissioner may prescribe
by  regulation  and pays on or before the date of such filing the amount
properly estimated as its tax.
2. Every report shall have annexed  thereto  a  certification  by  the
president,   vice-president,   treasurer,   assistant  treasurer,  chief
accounting officer or any other officer of the taxpayer duly  authorized
so  to act to the effect that the statements contained therein are true.
In the case of an association, within the meaning of paragraph three  of
section (a) of section seventy-seven hundred one of the internal revenue
code,  a  publicly  traded  partnership  treated  as  a  corporation for
purposes of the internal revenue code pursuant to section  seventy-seven
hundred four thereof and any business conducted by a trustee or trustees
wherein  interest  or  ownership  is  evidenced by certificates or other
written instruments such certification shall be made by any person  duly
authorized  so  to  act  on  behalf of such association, publicly traded
partnership or business. The fact that an individual's name is signed on
a certification of the report shall be prima facie  evidence  that  such
individual is authorized to sign and certify the report on behalf of the
corporation.   Blank   forms  of  reports  shall  be  furnished  by  the
commissioner of taxation and finance, on  application,  but  failure  to
secure  such  a  blank  shall  not  release  any  corporation  from  the
obligation of making any report required by this article.
2-a. The  commissioner  may  prescribe  regulations  and  instructions
requiring  returns  of  information  to be made and filed in conjunction
with the reports required to be filed pursuant to this article, relating
to  payments  made  to  shareholders  owning,  directly  or  indirectly,
individually  or in the aggregate, more than fifty percent of the issued
capital stock of the  taxpayer,  where  such  payments  are  treated  as

payments of interest in the computation of entire net income reported on
such reports.
3.  If  the  amount  of  taxable  income  for any year of any taxpayer
(including any taxpayer which has elected to be taxed under subchapter s
of chapter one of the internal revenue code), as returned to the  United
States  treasury  department is changed or corrected by the commissioner
of internal revenue or other officer  of  the  United  States  or  other
competent   authority,  or  where  a  renegotiation  of  a  contract  or
subcontract with the United  States  results  in  a  change  in  taxable
income,  such  taxpayer  shall  report such changed or corrected taxable
income, or the results of such renegotiation, within ninety days (or one
hundred twenty days, in the case of a taxpayer making a combined  report
under  this article for such year) after the final determination of such
change  or  correction  or  renegotiation,  or  as   required   by   the
commissioner,  and  shall  concede the accuracy of such determination or
state wherein it is erroneous. The allowance of  a  tentative  carryback
adjustment based upon a net operating loss carryback or net capital loss
carryback  pursuant to section sixty-four hundred eleven of the internal
revenue code, as amended, shall be treated as a final determination  for
purposes of this subdivision. Any taxpayer filing an amended return with
such  department  shall  also  file  within  ninety days (or one hundred
twenty days, in the case of a taxpayer making a  combined  report  under
this  article  for  such  year)  thereafter  an  amended report with the
commissioner.
4. For provisions  relating  to  combined  reports,  see  section  two
hundred ten-C of this article.
5.  In  case  it  shall appear to the commissioner that any agreement,
understanding or arrangement exists between the taxpayer and  any  other
corporation  or  any  person  or  firm,  whereby the activity, business,
income or capital of the taxpayer within  the  state  is  improperly  or
inaccurately reflected, the commissioner is authorized and empowered, in
the commissioner's discretion and in such manner as the commissioner may
determine,  to  adjust  items  of income, deductions and capital, and to
eliminate assets in computing any apportionment percentage provided only
that any income directly traceable thereto be also excluded from  entire
net income, so as equitably to determine the tax. Where (a) any taxpayer
conducts  its  activity  or business under any agreement, arrangement or
understanding in such manner as either directly or indirectly to benefit
its members or stockholders, or any of them, or any  person  or  persons
directly  or  indirectly  interested  in  such  activity or business, by
entering into any transaction at more or less than a fair  price  which,
but  for  such  agreement, arrangement or understanding, might have been
paid or received therefor, or (b) any taxpayer, a substantial portion of
whose capital stock is owned either directly or  indirectly  by  another
corporation,  enters into any transaction with such other corporation on
such terms as to create an improper loss or net income, the commissioner
may include in the entire net income of the taxpayer  the  fair  profits
which,  but  for  such  agreement,  arrangement  or  understanding,  the
taxpayer might have derived from such transaction.  Where  any  taxpayer
owns,  directly  or  indirectly,  more than fifty percent of the capital
stock of another  corporation  subject  to  tax  under  section  fifteen
hundred  two-a  of this chapter and fifty percent or less of whose gross
receipts for the taxable year consist of premiums, the commissioner  may
include  in  the  entire  net  income  of  the  taxpayer,  as  a  deemed
distribution, the amount of the net income of the other corporation that
is in excess of its net premium income.
6. An action may be brought at any time by the attorney-general at the
instance of the tax commission, in the name of the state, to compel  the
filing of reports due under this article.
7. Reports shall be preserved for five years, and thereafter until the
tax commission orders them to be destroyed.
8. (a) Except in accordance with proper judicial order or as otherwise
provided  by  law,  it  shall  be unlawful for any tax commissioner, any
officer or employee of the department, or any person  who,  pursuant  to
this  section,  is  permitted  to  inspect  any  report,  or to whom any
information contained in any report is furnished, or any person  engaged
or  retained by such department on an independent contract basis, or any
person who in any manner may acquire knowledge  of  the  contents  of  a
report  filed  pursuant to this article, to divulge or make known in any
manner the amount of income or any particulars set forth or disclosed in
any report under this article. The officers charged with the custody  of
such reports shall not be required to produce any of them or evidence of
anything  contained  in  them  in any action or proceeding in any court,
except on behalf of the state  or  the  commissioner  in  an  action  or
proceeding  under  the provisions of this chapter or in any other action
or proceeding involving the collection of a tax due under  this  chapter
to  which  the state or the commissioner is a party or a claimant, or on
behalf of any party to any action or proceeding under the provisions  of
this  article  when  the  reports  or  facts  shown thereby are directly
involved in such action or proceeding, in any of which events the  court
may  require  the  production  of, and may admit in evidence, so much of
said reports or of the facts shown  thereby  as  are  pertinent  to  the
action  or  proceeding, and no more. The commissioner may, nevertheless,
publish a copy or a summary of any determination  or  decision  rendered
after   the   formal  hearing  provided  for  in  section  one  thousand
eighty-nine of this  chapter.  Nothing  herein  shall  be  construed  to
prohibit   the   delivery  to  a  corporation  or  its  duly  authorized
representative of a copy of any report filed by it, nor to prohibit  the
publication of statistics so classified as to prevent the identification
of  particular  reports  and  the  items  thereof; or the publication of
delinquent lists showing the names of taxpayers who have failed  to  pay
their  taxes  at  the  time  and  in  the manner provided by section two
hundred thirteen of this chapter together with any relevant  information
which in the opinion of the commissioner may assist in the collection of
such  delinquent  taxes;  or  the  inspection by the attorney general or
other  legal  representatives  of  the  state  of  the  report  of   any
corporation  which  shall  bring  action  to set aside or review the tax
based thereon, or against which  an  action  or  proceeding  under  this
chapter has been recommended by the commissioner of taxation and finance
or the attorney general or has been instituted; or the inspection of the
reports of any corporation by the comptroller or duly designated officer
or  employee  of the state department of audit and control, for purposes
of the audit of a refund of any tax paid by such corporation under  this
article.
(b)  (i)  Any  officer or employee of the state who willfully violates
the provisions of paragraph (a) of this subdivision shall  be  dismissed
from  office and be incapable of holding any public office in this state
for a period of five years thereafter.
(ii) Cross-reference: For criminal penalties, see article thirty-seven
of this chapter.
(c) Notwithstanding  any  provisions  of  this  subdivision,  the  tax
commission may permit the secretary of the treasury of the United States
or  his delegates, or the proper officer of any other state charged with
tax administration, or the  authorized  representative  of  either  such

officer, to inspect the reports filed under this article, or may furnish
to such officer or his authorized representative an abstract of any such
report  or  supply  information concerning an item contained in any such
report,  or  disclosed  by  an investigation of tax liability under this
article, but such  permission  shall  be  granted  or  such  information
furnished  to such officer or his representative only if the laws of the
United States or of  such  other  state,  as  the  case  may  be,  grant
substantially  similar  privileges  to the commission or officer of this
state charged with the administration of the tax imposed by this article
and such information is to be used for tax purposes only;  and  provided
further  the  commissioner  of  taxation  and finance may furnish to the
secretary of the treasury of the United States  or  his  delegates  such
reports  filed  under  this article and other tax information, as he may
consider proper, for use in  court  actions  or  proceedings  under  the
internal  revenue  code,  whether  civil  or  criminal,  where a written
request therefor has been made  to  the  commissioner  of  taxation  and
finance  by  the secretary of the treasury or his delegates provided the
laws of the United States grant  substantially  similar  powers  to  the
secretary  of  the  treasury or his delegates. Where the commissioner of
taxation and finance has so authorized  use  of  reports  or  other  tax
information  in  such  actions or proceedings, officers and employees of
the department of taxation and finance may testify in  such  actions  or
proceedings  in  respect  to  such reports or other tax information; and
provided further that such commission may furnish any municipality  with
such information contained in the reports filed under this article as it
may   consider   proper  for  use  in  any  certiorari  or  condemnation
proceeding.
9.  Notwithstanding  the  provisions  of  subdivision  eight  of  this
section,  the  tax  commission  may  permit the officer charged with the
administration of an income tax imposed by any city of the state of  New
York,  or  the authorized representative of such officer, to inspect the
reports filed under this article, or may furnish to such officer or  his
authorized  representative  an  abstract  of  any  such report or supply
information  concerning  an  item  contained  in  any  such  report,  or
disclosed  by any investigation of tax liability under this article, but
such permission shall be granted or such information furnished  to  such
officer  or his representative only if the local laws of such city grant
substantially similar privileges to the commission or  officer  of  this
state charged with the administration of the tax imposed by this article
and  such  information is to be used for tax purposes only; and provided
further the commissioner of taxation and finance  may  furnish  to  such
city  officer or his delegates and the legal representative of such city
such reports filed under this article and other tax information,  as  he
may  consider proper, for use in court actions or proceedings under such
local law, whether civil or criminal, where a written  request  therefor
has  been  made to the commissioner of taxation and finance by such city
officer or his delegates or by such legal representative of  such  city,
provided  the local law of such city grants substantially similar powers
to the city officer charged with the administration of the  city  income
tax or his delegates. Where the commissioner of taxation and finance has
so authorized use of reports or other tax information in such actions or
proceedings,  officers  and  employees of the department of taxation and
finance may testify in such actions or proceedings in  respect  to  such
reports or other tax information.
10.  Notwithstanding  the  provisions  of  subdivision  eight  of this
section, the tax commission, in its discretion, may  require  or  permit
any  or  all persons liable for any tax imposed by this article, to make
payments on account of estimated tax and payment of any tax, penalty  or

interest  imposed  by  this  article  to  banks, banking houses or trust
companies designated by the tax commission and to file  declarations  of
estimated  tax,  applications  for  automatic extensions of time to file
reports,  and reports with such banks, banking houses or trust companies
as agents of the tax commission, in lieu  of  making  any  such  payment
directly  to  the  tax  commission.  However,  the  tax commission shall
designate only such banks, banking houses or trust companies as  are  or
shall  be  designated  by  the  comptroller  as depositories pursuant to
section two hundred eighteen.
11. Notwithstanding  the  provisions  of  subdivision  eight  of  this
section,  the commissioner may disclose to the head of any state agency,
pursuant to section one hundred seventy-one-f of this chapter, the  name
and  taxpayer identification number of any taxpayer whose overpayment is
certified to the comptroller to be credited against a  past-due  legally
enforceable  debt  owed to such agency and the amount of the overpayment
and interest thereon certified to the comptroller to be credited against
a past-due legally enforceable debt, and the commissioner  may  disclose
to  the  commissioner  of  finance  of the city of New York, pursuant to
section one hundred seventy-one-l of this chapter, the name and taxpayer
identification number of any taxpayer whose overpayment is certified  to
the  comptroller  to  be credited against a city of New York tax warrant
judgment debt and the amount of the  overpayment  and  interest  thereon
certified  to  the comptroller to be credited against a city of New York
tax warrant judgment debt.
12. (a) Notwithstanding the provisions of subdivision  eight  of  this
section,  the  commissioner  and  the  comptroller  shall  enter into an
agreement pursuant  to  which  the  commissioner  shall,  upon  request,
provide  the  comptroller  with  a  report,  not  more  frequently  than
annually, with respect to corporations  or  other  entities  which  have
filed a business corporation franchise tax report under this article for
any  taxable  year  within ten calendar years prior to the report to the
comptroller made pursuant to this subdivision, providing  the  following
information,  to  the  extent that such information is readily available
from the department's system for identifying taxpayer indicative data:
(1) business name and legal name, if different;
(2) business address and mailing address;
(3) federal employer identification number;
(4) date entered into business.
(b) Each report to the comptroller made pursuant to  this  subdivision
shall  list  each corporation or other entity with respect to which such
report is made according to the total assets reported for the end of the
year on its most recent available  business  corporation  franchise  tax
report,  in  descending order. Such reports to the comptroller shall not
disclose the actual amount of total assets  reported  on  such  business
corporation franchise tax reports.
(c)  The  information  provided  to  the  comptroller pursuant to this
subdivision shall be used only for administration and enforcement of the
abandoned property law. The comptroller may redisclose  the  information
provided  under  this  subdivision  only  to  the  extent  necessary for
enforcement or administration of the abandoned property law.
(d) The reports to the comptroller  required  under  this  subdivision
shall  be submitted by electronic means or in some other format which is
mutually acceptable to the comptroller and the commissioner. The written
agreement with the  comptroller  shall  set  forth  the  procedures  for
providing  the  information  the  commissioner  is  allowed  to disclose
pursuant to this subdivision.
(e) Notwithstanding article six of the  public  officers  law  or  any
other  provision  of law, the reports to be furnished to the comptroller

pursuant to this subdivision  shall  not  be  open  to  the  public  for
inspection.
14.  Notwithstanding  the  provisions  of  subdivision  eight  of this
section, the commissioner may disclose to a  taxpayer  or  a  taxpayer's
related  member,  as  defined  in  paragraph  (o) of subdivision nine of
section two hundred eight of this article, information relating  to  any
royalty  payments paid, incurred or received by such taxpayer or related
member to or from the other, including the treatment of such payments by
the taxpayer or the related member in any report or  return  transmitted
to the commissioner under this chapter.
15.  Notwithstanding  the  provisions  of  subdivision  eight  of this
section,  the  commissioner  shall  provide  the  statements  and  other
required information requested on tax reports under section four hundred
eight  of  the  business  corporation  law to the secretary of state for
filing. Such provision may also include a copy or image of that  portion
of  the  report  solely  pertinent  to  such  information  to the extent
feasible.   The   commissioner   any   also   provide   information   on
noncompliance.
16.  (a)  Notwithstanding  the provisions of subdivision eight of this
section, upon written request from the chairperson of the  committee  on
ways  and  means  of  the  United  States  House of Representatives, the
chairperson of the committee on finance of the United States Senate,  or
the  chairperson of the joint committee on taxation of the United States
Congress, the commissioner shall furnish such committee with any current
or prior year reports specified in such request that  were  filed  under
this  article  by  the president of the United States, vice-president of
the United States, member of the United States Congress representing New
York state, or any person who served in or was employed by the executive
branch of the government of the United States on the executive staff  of
the president, in the executive office of the president, or in an acting
or  confirmed  capacity  in  a  position  subject to confirmation by the
United States senate;  or,  in  New  York  state:  a  statewide  elected
official,  as  defined  in  paragraph  (a) of subdivision one of section
seventy-three-a of the public officers law; a state officer or employee,
as defined in subparagraph (i) of paragraph (c) of  subdivision  one  of
such  section seventy-three-a; a political party chairperson, as defined
in paragraph (h) of subdivision one of such section  seventy-three-a;  a
local  elected  official,  as  defined  in  subdivisions  one and two of
section eight hundred  ten  of  the  general  municipal  law;  a  person
appointed,  pursuant to law, to serve due to vacancy or otherwise in the
position of a local elected official, as defined in subdivisions one and
two of section eight hundred ten of the general municipal law; a  member
of  the  state  legislature;  or a judge or justice of the unified court
system, or filed  by  a  partnership,  firm,  association,  corporation,
joint-stock  company,  trust  or  similar  entity directly or indirectly
controlled by any  individual  listed  in  this  paragraph,  whether  by
contract,  through  ownership  or control of a majority interest in such
entity, or otherwise, or filed  by  a  partnership,  firm,  association,
corporation,  joint-stock  company, trust or similar entity of which any
individual listed in this paragraph holds ten percent  or  more  of  the
voting  securities  of  such  entity;  provided  however  that, prior to
furnishing any report, the commissioner  shall  redact  any  copy  of  a
federal return (or portion thereof) attached to, or any information on a
federal  return  that  is  reflected  on,  such  report,  and any social
security numbers, account numbers and residential address information.
(b) No reports shall be furnished pursuant to this subdivision  unless
the  chairperson  of  the requesting committee certifies in writing that
such reports have been requested related to, and in  furtherance  of,  a

legitimate  task of the Congress, that the requesting committee has made
a written request to the United States secretary  of  the  treasury  for
related  federal  reports  or  report information, pursuant to 26 U.S.C.
Section  6103(f),  and  that  if such requested reports are inspected by
and/or submitted to another committee, to the  United  States  House  of
Representatives,  or  to  the United States Senate, then such inspection
and/or submission shall occur in a manner consistent with federal law as
informed by the requirements and procedures  established  in  26  U.S.C.
Section 6103(f).