2023 New York Laws › TAX - Tax › Article 9 - Corporation Tax › 186-C - Metropolitan Transportation Business Tax Surcharge on Utility Services and Excise Tax on Sale of Telecommunication Services.

§ 186-c. Metropolitan transportation business tax surcharge on utility
services and excise tax on sale of telecommunication services.
1.  (a)  (1) Every utility doing business in the metropolitan commuter
transportation district shall pay a tax surcharge, in  addition  to  the
tax  imposed  by section one hundred eighty-six-a of this article, to be
computed at the rate of seventeen percent of the tax imposed under  such
section  after  the  deduction of credits otherwise allowable under this
article except any utility credit provided for by article thirteen-A  of
this  chapter; provided, however, that such rates of tax surcharge shall
be applied only to that portion of the tax  imposed  under  section  one
hundred  eighty-six-a  of  this  article  after the deduction of credits
otherwise allowable  under  this  article,  except  any  utility  credit
provided   for   by   article  thirteen-A  of  this  chapter,  which  is
attributable to the taxpayer's gross income or  gross  operating  income
from  business  activity  carried  on  within  the metropolitan commuter
transportation district.
(2) Provided however, that in  the  case  of  the  tax  imposed  under
paragraph  (a) of subdivision one of section one hundred eighty-six-a of
this article (relating to providers of telecommunications services) such
tax surcharge shall be calculated as if the tax  imposed  under  section
one hundred eighty-six-a of this article were imposed at a rate of three
and one-half percent.
(b)  (1) In addition to the surcharge imposed by paragraph (a) of this
subdivision, there is hereby imposed a surcharge on the  gross  receipts
from  telecommunication  services,  except  for  the gross receipts from
mobile  telecommunication  services  that  are  subject  to  tax   under
subparagraph  two  of  this  paragraph,  relating  to  the  metropolitan
commuter transportation district at the rate of seventeen percent of the
state tax rate under section one hundred eighty-six-e of  this  article.
All  the  definitions  and  other  provisions  of  section  one  hundred
eighty-six-e of this article shall apply to  the  tax  imposed  by  this
subparagraph  with  such modification and limitation as may be necessary
(including substituting the words "metropolitan commuter  transportation
district"  for "state" where appropriate) in order to adapt the language
of such  section  one  hundred  eighty-six-e  of  this  article  to  the
surcharge imposed by this subparagraph within such metropolitan commuter
transportation   district  so  as  to  include  (i)  any  intra-district
telecommunication services, (ii)  any  inter-district  telecommunication
services  which  originate or terminate in such district and are charged
to a service address therein regardless of where the amounts charged for
such services are billed or ultimately paid, and (iii) as apportioned to
such district, private  telecommunication  services.  Provided  however,
such  tax  surcharge  shall  be  calculated  as if the tax imposed under
section one hundred eighty-six-e of this article were imposed at a  rate
of three and one-half percent.
(2)  In  addition  to  the  surcharge imposed by paragraph (a) of this
subdivision, there is hereby imposed a surcharge on the  gross  receipts
from  mobile  telecommunication  services  relating  to the metropolitan
commuter  transportation  district  at  the  rate  of  seven-tenths  and
two-hundredths  and  one-thousandth  percent on and after May first, two
thousand fifteen. All the definitions and other  provisions  of  section
one  hundred eighty-six-e of this article shall apply to the tax imposed
by this subparagraph with such modification and  limitation  as  may  be
necessary  (including  substituting  the  words  "metropolitan  commuter
transportation district" for "state"  where  appropriate)  in  order  to
adapt  the  language  of  such  section one hundred eighty-six-e of this
article to the  surcharge  imposed  by  this  subparagraph  within  such
metropolitan  commuter  transportation  district  so  as  to include any

mobile telecommunications service provided by a  home  service  provider
where  the  mobile telecommunications customer's place of primary use is
within such metropolitan commuter transportation district.
2.  If  the tax imposed under section one hundred eighty-six-a of this
article is on the taxpayer's  gross  income,  the  portion  of  the  tax
attributable  to  gross  income from business activity carried on within
the metropolitan commuter transportation district shall be determined by
multiplying the tax imposed under section one  hundred  eighty-six-a  of
this  article  by  the  ratio  of  the  taxpayer's gross income from all
sources within the metropolitan commuter transportation district to  its
gross income from all sources within the entire state.
3.  If  the tax imposed under section one hundred eighty-six-a of this
article is on the taxpayer's gross operating income, the portion of  the
tax  attributable  to  gross  operating  income  from  business activity
carried on within  the  metropolitan  commuter  transportation  district
shall  be  determined  by  multiplying the tax imposed under section one
hundred eighty-six-a of this article by  the  ratio  of  the  taxpayer's
gross operating income from all sources within the metropolitan commuter
transportation  district  to its gross operating income from all sources
within the entire state.
4. The provisions concerning reports  and  returns  under  subdivision
four  of section one hundred eighty-six-a and subdivision six of section
one hundred eighty-six-e of this article, as the case may be,  shall  be
applicable to this section. An extension pursuant to section one hundred
ninety-three  of  this article shall be allowed only if a taxpayer files
with the commissioner an application for  extension  in  such  form  and
manner  as  said commissioner may prescribe by regulation and pays on or
before the date of such filing in addition to any other amounts required
under this article, either ninety percent of the  entire  tax  surcharge
required to be paid under this section for the applicable period, or not
less  than  the  tax  surcharge  shown  on the taxpayer's report for the
preceding taxable year, if such preceding taxable  year  was  a  taxable
year  of  twelve months. The tax surcharge imposed by this section shall
be payable to the commissioner  in  full  at  the  time  the  report  is
required  to  be  filed,  and such tax surcharge or the balance thereof,
imposed on any taxpayer which ceases to exercise  its  franchise  or  be
subject to the tax surcharge imposed by this section shall be payable to
the  commissioner  at  the  time  the  report  is  required to be filed,
provided such tax surcharge of a domestic corporation which continues to
possess  its  franchise  shall  be  subject   to   adjustment   as   the
circumstances  may  require;  all  other  tax  surcharges  of  any  such
taxpayer, which pursuant to the foregoing  provisions  of  this  section
would  otherwise  be  payable  subsequent  to  the  time  such report is
required to be filed, shall nevertheless be payable at such time. All of
the provisions of this  article  presently  applicable  to  section  one
hundred  eighty-six-a  and  section  one  hundred  eighty-six-e  of this
article, as the case may be, are applicable to the tax surcharge imposed
by this section.
5. Notwithstanding any other provision of state or local law, the  tax
surcharge  imposed  by  this section shall not be allowed as a deduction
and shall, to the extent  deductible  in  determining  federal  adjusted
gross  income,  be  added  to  federal  adjusted  gross  income,  in the
computation of any tax imposed under this chapter or any  other  chapter
of  state  or  local  law.  Furthermore, the credits otherwise allowable
under this article shall  not  be  allowed  against  the  tax  surcharge
imposed by this section.
6.  The  term metropolitan commuter transportation district as used in
this section  shall  be  defined  pursuant  to  section  twelve  hundred
sixty-two of the public authorities law.