N.Y. Comp. Codes R. & Regs. Tit. 20 §§ 1-2.2

Current through Register Vol. 46, No. 36, September 4, 2024

Section 1-2.2 - Foreign corporations subject to tax. General

Tax Law, section 209(1) and (3)

(a)

(1) The tax is imposed on every foreign corporation, not specifically exempt as provided in section 1-2.11 of this Subpart, whose activities include one or more of the following:

(i) doing business in New York State in a corporate or organized capacity or in a corporate form; or

(ii) employing capital in New York State in a corporate or organized capacity or in a corporate form; or

(iii) owning or leasing property in New York State in a corporate or organized capacity or in a corporate form; or

(iv) maintaining an office in New York State; or

(v) deriving receipts from activity in New York State.

(b) Except as specified in section 1-2.10 of this Part, a foreign corporation engaged in New York State in any one or more of the activities described in subdivision (a) of this section is subject to tax even though its activities are wholly or partly in interstate or foreign commerce.

(c) A foreign corporation that is not subject to tax or that is exempt from tax, other than a corporation that cannot be included in a combined report under section 210-C(2)(c) and section 6-2.6 of this Subchapter, is required to be included in a combined report with a taxpayer if the combined reporting requirements are met.

(d) A foreign corporation engaged in New York State in any one or more of the activities described in subdivision (a) of this section is subject to tax regardless of whether it is authorized to do business in New York State, including after it surrenders its authority to do business.

(e)

(i) A foreign corporation engaged in New York State in any of the activities described in subdivision (a) of this section is subject to tax:

(a) for any taxable year or part of a taxable year during which it engages in any of the activities described in subdivision (a) of this section; and

(b) for any subsequent taxable year during which it engages in any of the activities described in subdivision (a) of this section.

(f) An alien corporation that under any provision of the IRC is treated as a domestic corporation as defined in IRC section 7701 or that has effectively connected income for the taxable year is subject to tax if such alien corporation is engaged in New York State in any one or more of the activities described in subdivision (a) of this section.

N.Y. Comp. Codes R. & Regs. Tit. 20 §§ 1-2.2

Adopted New York State Register December 27, 2023/Volume XLV, Issue 52, eff. 12/27/2023