2023 New York Laws › TAX - Tax › Article 9-A - Franchise Tax on Business Corporations › 213-B - Payments on Account of Estimated Tax.

§   213-b.   Payments   on  account  of  estimated  tax.--  (a)  First
installments for certain  taxpayers.--In  privilege  periods  of  twelve
months  ending  at  any  time  during the calendar year nineteen hundred
seventy and thereafter, every taxpayer subject to  the  tax  imposed  by
section  two  hundred  nine  of  this  chapter  must pay with the report
required to be filed for the preceding  privilege  period,  or  with  an
application for extension of the time for filing the report, for taxable
years beginning before January first, two thousand sixteen, and must pay
on  or  before  the  fifteenth  day of the third month of such privilege
periods, for taxable years beginning on  or  after  January  first,  two
thousand  sixteen,  an  amount  equal  to (i) twenty-five percent of the
second preceding year's tax if the second preceding year's tax  exceeded
one  thousand dollars but was equal to or less than one hundred thousand
dollars, or (ii) forty percent of the second preceding year's tax if the
second preceding year's tax exceeded one hundred  thousand  dollars.  If
the  second  preceding year's tax under section two hundred nine of this
chapter exceeded one thousand dollars and the taxpayer is subject to the
tax surcharge imposed by section two hundred nine-B of this chapter, the
taxpayer must also pay with the tax  surcharge  report  required  to  be
filed  for the second preceding privilege period, or with an application
for extension of the time for  filing  the  report,  for  taxable  years
beginning before January first, two thousand sixteen, and must pay on or
before  the  fifteenth day of the third month of such privilege periods,
for taxable years beginning on or  after  January  first,  two  thousand
sixteen, an amount equal to (i) twenty-five percent of the tax surcharge
imposed for the second preceding year if the second preceding year's tax
was  equal  to  or less than one hundred thousand dollars, or (ii) forty
percent of the tax surcharge imposed for the second  preceding  year  if
the  second  preceding year's tax exceeded one hundred thousand dollars.
Provided, however, that every taxpayer that is a New York S  corporation
must  pay  with  the  report  required  to  be  filed  for the preceding
privilege period, or with an application for extension of the  time  for
filing  the  report,  an  amount equal to (i) twenty-five percent of the
preceding year's tax if the preceding year's tax exceeded  one  thousand
dollars  but  was equal to or less than one hundred thousand dollars, or
(ii) forty percent of the preceding year's tax if the  preceding  year's
tax exceeded one hundred thousand dollars.
(b)  Other installments.--In privilege periods of twelve months ending
at any time during  the  calendar  year  nineteen  hundred  seventy  and
thereafter,  the  estimated tax or estimated tax surcharge, with respect
to which a declaration for such privilege period is  required  shall  be
paid, in the case of a taxpayer which reports on the basis of a calendar
year, as follows:
(1)  If  the  declaration  is  filed  on or before June fifteenth, the
estimated tax or estimated tax surcharge shown thereon,  after  applying
thereto  the  amount,  if  any,  paid  during  the same privilege period
pursuant to subdivision (a), shall be paid in three equal  installments.
One  of such installments shall be paid at the time of the filing of the
declaration, one shall be paid on the following September fifteenth, and
one on the following December fifteenth.
(2) If the declaration is filed after June  fifteenth  and  not  after
September  fifteenth of such privilege period, and is not required to be
filed on or before June fifteenth of such period, the estimated  tax  or
estimated  tax  surcharge  shown  on  such  declaration,  after applying
thereto the amount, if  any,  paid  during  the  same  privilege  period
pursuant  to  subdivision  (a), shall be paid in two equal installments.
One of such installments shall be paid at the time of the filing of  the
declaration and one shall be paid on the following December fifteenth.
(3)  If  the  declaration  is  filed after September fifteenth of such
privilege period, and is not required to be filed on or before September
fifteenth of such privilege period, the estimated tax or  estimated  tax
surcharge  shown on such declaration, after applying thereto the amount,
if any, paid in respect of such privilege period pursuant to subdivision
(a), shall be paid in full at the time of the filing of the declaration.
(4) If the declaration is filed after the time prescribed therefor, or
after  the  expiration of any extension of time therefor, paragraphs (2)
and (3) of this subdivision shall not apply, and there shall be paid  at
the  time  of such filing all installments of estimated tax or estimated
tax surcharge  payable  at  or  before  such  time,  and  the  remaining
installments  shall be paid at the times at which, and in the amounts in
which, they would have been payable if the declaration  had  been  filed
when due.
(c)  Amendments  of declaration.--If any amendment of a declaration is
filed, the remaining installments, if any, shall be ratably increased or
decreased (as the case may be) to reflect any increase  or  decrease  in
the  estimated  tax  or  estimated  tax  surcharge  by  reason  of  such
amendment, and if any amendment is made after September fifteenth of the
privilege period, any increase in the estimated  tax  or  estimated  tax
surcharge  by  reason  thereof  shall be paid at the time of making such
amendment.
(d) Application of installments based on the second  preceding  year's
tax.--(1)  Any  amount paid pursuant to subdivision (a) shall be applied
after payment as a  first  installment  against  the  estimated  tax  or
estimated  tax  surcharge, respectively, of the taxpayer for the current
privilege period shown on the declaration required to be filed  pursuant
to  section two hundred thirteen-a of this chapter or, if no declaration
of estimated tax or a declaration of estimated tax surcharge is required
to be filed by the taxpayer pursuant to such section,  any  such  amount
shall  be  considered  a  payment on account of the tax or tax surcharge
shown on the report required to  be  filed  by  the  taxpayer  for  such
privilege period.
(2)  Any  amount  paid pursuant to paragraph four of subsection (c) of
section six hundred fifty-eight of this chapter on behalf of a  taxpayer
subject to tax under this article shall be applied against the estimated
tax  of  the  taxpayer  for  the  taxable  year shown on the declaration
required to be filed pursuant to section two hundred thirteen-a of  this
article,  or  if  no  declaration is filed pursuant to such section, any
such amount shall be considered a payment on account of the tax  on  the
return required to be filed by the taxpayer for such taxable year.
(e)  Interest  on  certain  installments based on the second preceding
year's tax.--Notwithstanding the  provisions  of  section  one  thousand
eighty-eight  of this chapter or of section sixteen of the state finance
law, if an amount paid pursuant to subdivision (a) exceeds  the  tax  or
tax surcharge, respectively, shown on the report required to be filed by
the  taxpayer for the privilege period during which the amount was paid,
interest shall be allowed and paid on the amount by which the amount  so
paid  pursuant to such subdivision exceeds such tax or tax surcharge. In
the case of amounts so paid pursuant to subdivision (a),  such  interest
shall   be  allowed  and  paid  at  the  overpayment  rate  set  by  the
commissioner of taxation and finance pursuant to  section  one  thousand
ninety-six of this chapter, or if no rate is set, at the rate of six per
centum per annum from the date of payment of the amount so paid pursuant
to  such  subdivision to the fifteenth day of the fourth month following
the close of the taxable year, provided, however, that no interest shall
be allowed or paid under this subdivision if the amount thereof is  less

than  one dollar or if such interest becomes payable solely because of a
carryback of a net operating loss in a subsequent privilege period.
(f)  The  preceding  year's  tax  and  the second preceding year's tax
defined.-- As used in this section, "the preceding year's tax" means the
tax imposed upon the taxpayer  by  section  two  hundred  nine  of  this
article  for  the preceding calendar or fiscal year, or, for purposes of
computing the first installment of estimated tax when an application has
been filed for extension of the time for filing the report  required  to
be filed for such preceding calendar or fiscal year, the amount properly
estimated  pursuant  to  section two hundred thirteen of this article as
the tax imposed upon the taxpayer for such calendar or fiscal  year.  As
used  in  this  section, "the second preceding year's tax" means the tax
imposed upon the taxpayer by section two hundred nine  of  this  article
for the second preceding calendar or fiscal year.
(g)  Application  to short privilege period.--This section shall apply
to a privilege period of less than  twelve  months  in  accordance  with
regulations of the tax commission.
(h)  Fiscal  year.--The  provisions  of  this  section  shall apply to
privilege periods of twelve months other than a  calendar  year  by  the
substitution  of  the  months  of such fiscal year for the corresponding
months specified in such provisions.
(i) Extension of time.--The commissioner of taxation and  finance  may
grant  a  reasonable  extension  of  time, not to exceed six months, for
payment of any installment of estimated tax or estimated  tax  surcharge
required  pursuant  to  this section, on such terms and conditions as he
may require, including the furnishing of a bond or other security by the
taxpayer in an amount not exceeding  twice  the  amount  for  which  any
extension of time for payment is granted, provided however that interest
at the underpayment rate set by the commissioner pursuant to section one
thousand  ninety-six  of this chapter, or if no rate is set, at the rate
of six per centum per annum for the period of  the  extension  shall  be
charged  and collected on the amount for which any extension of time for
payment is granted under this subdivision.
(j) Payment of installments in advance.--A taxpayer may elect  to  pay
any installment of estimated tax or estimated tax surcharge prior to the
date prescribed in this section for payment thereof.