2023 New York Laws › TAX - Tax › Article 23 - Metropolitan Commuter Transportation Mobility Tax › 801 - Imposition of Tax and Rate.

§  801.  Imposition  of  tax  and  rate.  (a)  For the sole purpose of
providing an additional stable and reliable dedicated funding source for
the metropolitan  transportation  authority  and  its  subsidiaries  and
affiliates  to  preserve,  operate  and  improve  essential  transit and
transportation services  in  the  metropolitan  commuter  transportation
district,  a  tax  is  hereby  imposed  on  employers and individuals as
follows: (1) (A) For employers who engage in business within  the  MCTD,
in  the  counties of Dutchess, Nassau, Orange, Putnam, Rockland, Suffolk
and Westchester, the tax is imposed at a rate of (i)  eleven  hundredths
(.11)  percent of the payroll expense for employers with payroll expense
no greater than three  hundred  seventy-five  thousand  dollars  in  any
calendar  quarter,  (ii)  twenty-three  hundredths  (.23) percent of the
payroll expense for employers with payroll expense  greater  than  three
hundred  seventy-five  thousand dollars and no greater than four hundred
thirty-seven thousand five hundred dollars in any calendar quarter,  and
(iii)  thirty-four  hundredths  (.34) percent of the payroll expense for
employers with payroll expense in excess of  four  hundred  thirty-seven
thousand  five  hundred dollars in any calendar quarter. If the employer
is a professional employer organization,  as  defined  in  section  nine
hundred sixteen of the labor law, the employer's tax shall be calculated
by  determining  the payroll expense attributable to each client who has
entered into a professional employer agreement  with  such  organization
and  the  payroll  expense  attributable  to  such  organization itself,
multiplying each of those payroll expense amounts by the applicable rate
set forth in this paragraph and adding those products together.
(B) For employers who engage in  business  within  the  MCTD,  in  the
counties  of  Bronx,  Kings,  New York, Queens, and Richmond, the tax is
imposed at a rate of (i) eleven hundredths (.11) percent of the  payroll
expense for employers with payroll expense no greater than three hundred
seventy-five thousand dollars in any calendar quarter, (ii) twenty-three
hundredths  (.23)  percent  of  the  payroll  expense for employers with
payroll expense greater than three hundred seventy-five thousand dollars
and no greater than four  hundred  thirty-seven  thousand  five  hundred
dollars  in  any  calendar  quarter,  and  (iii)  sixty hundredths (.60)
percent of the payroll expense for employers  with  payroll  expense  in
excess of four hundred thirty-seven thousand five hundred dollars in any
calendar   quarter.   If   the   employer  is  a  professional  employer
organization, as defined in section nine hundred sixteen  of  the  labor
law,  the  employer's tax shall be calculated by determining the payroll
expense attributable to each client who has entered into a  professional
employer  agreement  with  such  organization  and  the  payroll expense
attributable to such organization  itself,  multiplying  each  of  those
payroll  expense  amounts  by  the  applicable  rate  set  forth in this
paragraph and adding those products together.
* (2) (A) For individuals, the tax is imposed at a rate of thirty-four
hundredths (.34) percent of the net  earnings  from  self-employment  of
individuals   that  are  attributable  to  the  MCTD  if  such  earnings
attributable to the MCTD, in the counties of Dutchess,  Nassau,  Orange,
Putnam, Rockland, Suffolk and Westchester, exceed fifty thousand dollars
for the tax year.
(B)  For  individuals,  the  tax  is  imposed at a rate of forty-seven
hundredths (.47) percent of the net  earnings  from  self-employment  of
individuals that are attributable to the MCTD, in the counties of Bronx,
Kings,  New York, Queens, and Richmond, if such earnings attributable to
the MCTD exceed fifty thousand dollars for the tax year.
* NB Effective until January 1, 2024
* (2) (A) For individuals, the tax is imposed at a rate of thirty-four
hundredths (.34) percent of the net  earnings  from  self-employment  of

individuals  that  are  attributable  to  the  MCTD,  in the counties of
Dutchess, Nassau, Orange, Putnam, Rockland, Suffolk, and Westchester, if
such earnings attributable to the MCTD exceed fifty thousand dollars for
the tax year.
(B)  For individuals, the tax is imposed at a rate of sixty hundredths
(.60) percent of the net earnings from  self-employment  of  individuals
that  are attributable to the MCTD, in the counties of Bronx, Kings, New
York, Queens, and Richmond, if such earnings attributable  to  the  MCTD
exceed fifty thousand dollars for the tax year.
* NB Effective January 1, 2024
(b)(1)  An  individual  having  net earnings from self-employment from
activity   both   within   and   without   the   metropolitan   commuter
transportation  district  is required to allocate and apportion such net
earnings  to  the  MCTD  in  the  manner  required  for  allocation  and
apportionment of income under article twenty-two of this chapter.
(2) In the case of individuals with earnings from self-employment, the
net  earnings  from  self  employment  threshold  in  paragraph  two  of
subsection (a) of this section will be computed on an  individual  basis
regardless  of whether that individual filed a joint personal income tax
return.
(c) The determination of whether a covered employee is employed within
the MCTD  will  be  made  by  utilizing  the  rules  applicable  to  the
jurisdiction  of employment for purposes of the statewide wage reporting
system under section one  hundred  seventy-one-a  of  this  chapter  and
substituting the MCTD for the state in that application.