STATE OF NEW YORK
________________________________________________________________________
7318
2013-2014 Regular Sessions
IN ASSEMBLY
May 10, 2013
___________
Introduced by M. of A. RUSSELL -- read once and referred to the Commit-
tee on Ways and Means
AN ACT to amend the tax law, in relation to reducing farm-based taxes
and fees
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subparagraphs (A) and (B) of paragraph 3 of subsection (c)
2 of section 658 of the tax law, subparagraph (A) as amended by section 18
3 of part U of chapter 61 of the laws of 2011 and subparagraph (B) as
4 amended by section 1 of part H-1 of chapter 57 of the laws of 2009, are
5 amended to read as follows:
6 (A) Every subchapter K limited liability company, every limited
7 liability company that is a disregarded entity for federal income tax
8 purposes, and every partnership which has any income derived from New
9 York sources, determined in accordance with the applicable rules of
10 section six hundred thirty-one of this article as in the case of a
11 nonresident individual, shall, within sixty days after the last day of
12 the taxable year, make a payment of a filing fee. Such deadline shall
13 not apply to farms, commercial horse boarding operations or agricultural
14 service providers subject to the fee, which shall, within one hundred
15 twenty days after the last day of the taxable year, make payment of any
16 required filing fee. The amount of the filing fee is the amount set
17 forth in subparagraph (B) of this paragraph. The minimum filing fee is
18 twenty-five dollars for taxable years beginning in two thousand eight
19 and thereafter. Limited liability companies that are disregarded enti-
20 ties for federal income tax purposes must pay a filing fee of twenty-
21 five dollars for taxable years beginning on or after January first, two
22 thousand eight.
23 (B) The filing fee will be based on the New York source gross income
24 of the limited liability company or partnership for the taxable year
25 immediately preceding the taxable year for which the fee is due. If the
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD10576-01-3
A. 7318 2
1 limited liability company or partnership does not have any New York
2 source gross income for the taxable year immediately preceding the taxa-
3 ble year for which the fee is due, the limited liability company or
4 partnership shall pay the minimum filing fee. Partnerships, other than
5 limited liability partnerships under article eight-B of the partnership
6 law and foreign limited liability partnerships, with less than one
7 million dollars in New York source gross income are exempt from the
8 filing fee. New York source gross income is the sum of the partners' or
9 members' shares of federal gross income from the partnership or limited
10 liability company derived from or connected with New York sources,
11 determined in accordance with the provisions of section six hundred
12 thirty-one of this article as if those provisions and any related
13 provisions expressly referred to a computation of federal gross income
14 from New York sources. For this purpose, federal gross income is
15 computed without any allowance or deduction for cost of goods sold,
16 except that for companies engaged primarily in farming, commercial horse
17 boarding, commercial equine operations or agricultural service provid-
18 ers, the term federal gross income shall mean net income as reported for
19 federal tax purposes.
20 The amount of the filing fee for taxable years beginning on or after
21 January first, two thousand eight will be determined in accordance with
22 the following table:
23 If the New York source gross income is: The fee is:
24 not more than $100,000 $25
25 more than $100,000 but not over $250,000 $50
26 more than $250,000 but not over $500,000 $175
27 more than $500,000 but not over $1,000,000 $500
28 more than $1,000,000 but not over $5,000,000 $1,500
29 more than $5,000,000 but not over $25,000,000 $3,000
30 Over $25,000,000 $4,500
31 § 2. Subparagraph 4 of paragraph (d) of subdivision 1 of section 210
32 of the tax law, as added by section 2 of part AA-1 of chapter 57 of the
33 laws of 2008, is amended to read as follows:
34 (4) Notwithstanding subparagraphs one and two of this paragraph, for
35 taxable years beginning on or after January first, two thousand eight,
36 the amount prescribed by this paragraph for New York S corporations will
37 be determined in accordance with the following table:
38 If New York receipts are: The fixed dollar minimum tax is:
39 not more than $100,000 $ 25
40 more than $100,000 but not over $250,000 $ 50
41 more than $250,000 but not over $500,000 $ 175
42 more than $500,000 but not over $1,000,000 $ 300
43 more than $1,000,000 but not over $5,000,000 $1,000
44 more than $5,000,000 but not over $25,000,000 $3,000
45 Over $25,000,000 $4,500
46 Otherwise the amount prescribed by this paragraph will be determined in
47 accordance with the following table:
48 If New York receipts are: The fixed dollar minimum tax is:
49 not more than $100,000 $ 25
50 more than $100,000 but not over $250,000 $ 75
51 more than $250,000 but not over $500,000 $ 175
A. 7318 3
1 more than $500,000 but not over $1,000,000 $ 500
2 more than $1,000,000 but not over $5,000,000 $1,500
3 more than $5,000,000 but not over $25,000,000 $3,500
4 Over $25,000,000 $5,000
5 For purposes of this paragraph, New York receipts are the receipts
6 computed in accordance with subparagraph two of paragraph (a) of subdi-
7 vision three of this section for the taxable year, except that for
8 corporations engaged primarily in farming, commercial horse boarding,
9 commercial equine operations or providing agricultural services, the
10 term New York receipts shall refer to net farm income as reported for
11 federal tax purposes.
12 § 3. This act shall take effect immediately.
