Under Article 9-A, New York S corporation are required to pay the fixed dollar minimum tax imposed under Tax Law section 210.1(d). For tax years beginning on or after January 1, 2008, "the fixed dollar minimum tax will be computed based on the New York receipts of the corporation."
For S corporations filing a short period tax return, New York State allows the proration of fixed dollar minimum tax and maintenance fee. The Corporation computes the New York receipts for short periods (a tax period of less than 12 months) by dividing the amount by the number of months in the short period and multiplying the result by 12. The fixed dollar minimum tax and maintenance fee may be reduced for 50% for period of less than 6 months and 25% for up to a 9 months of a short period. No reductions are allowable for a short period greater than 9 months.
The following table illustrates the different tax liabilities assessed to New York State S Corporations based on their total annual receipts collected in New York State.
For a New York S corporation..................
Fixed dollar minimum tax equals:
(With receipts of)
1. Not more than $100,000.......................................... .......$25
2. More than $100,000 but not over $250,000.........................$50
3. More than $250,000 but not over $500,000 .......................$175
4. More than $500,000 but not over $1,000,000.....................$300
5. More than $1,000,000 but not over $5,000,000................$1,000
6. More than $5,000,000 but not over $25,000,000...............$3,000
7. More than $25,000,000....................................... ........$4,500
For more information please click on the following website below.
http://www.tax.state.ny.us/pdf/2008/corp/ct3si_2008.pdf