STATE OF NEW YORK
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7663
IN SENATE
June 12, 2012
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Introduced by Sen. SEWARD -- read twice and ordered printed, and when
printed to be committed to the Committee on Rules
AN ACT to amend the tax law, in relation to the franchise tax on busi-
ness corporations
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 1 of section 209 of the tax law, as amended by
2 chapter 817 of the laws of 1987, is amended to read as follows:
3 1. For the privilege of exercising its corporate franchise, or of
4 doing business, or of employing capital, or of owning or leasing proper-
5 ty in this state in a corporate or organized capacity, or of maintaining
6 an office in this state, for all or any part of each of its fiscal or
7 calendar years, every domestic or foreign corporation, except corpo-
8 rations specified in subdivision four of this section, shall annually
9 pay a franchise tax, upon the basis of its entire net income base, or
10 upon such other basis as may be applicable as hereinafter provided, for
11 such fiscal or calendar year or part thereof, on a report which shall be
12 filed, except as hereinafter provided, on or before the fifteenth day of
13 March next succeeding the close of each such year, or, in the case of a
14 corporation which reports on the basis of a fiscal year, within two and
15 one-half months after the close of such fiscal year, and shall be paid
16 as hereinafter provided. Provided however, a manufacturer as defined in
17 section two hundred ten of this article shall not be subject to tax
18 under this article for taxable years beginning on or after January
19 first, two thousand fifteen; if the manufacturer has one hundred or
20 fewer employees and less than one million dollars in gross income such
21 manufacturer shall not be subject to tax under this article for taxable
22 years beginning on or after January first, two thousand fourteen; if the
23 manufacturer has fifty or fewer employees and less than five hundred
24 thousand dollars in gross income such manufacturer shall not be subject
25 to tax under this article for taxable years beginning on or after Janu-
26 ary first, two thousand thirteen.
27 § 2. Subsection (c) of section 612 of the tax law is amended by adding
28 a new paragraph 39 to read as follows:
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD15921-03-2
S. 7663 2
1 (39) In the case of a taxpayer who is a proprietor of, a partner in,
2 an S-corporation shareholder of, a limited liability company member of
3 or a limited liability company member of, a business that is a manufac-
4 turer, as the term is defined in subparagraph (vi) of paragraph (a) of
5 subdivision one of section two hundred ten of this article, to the
6 extent included in federal gross income for the taxable year, business
7 income or share of business income from such manufacturing business for
8 taxable years beginning on or after January first, two thousand fifteen,
9 provided however if such business that is a manufacturer has one hundred
10 or fewer employees and less than one million dollars in business income,
11 this paragraph shall be applicable for taxable years beginning on or
12 after January first, two thousand fourteen, further provided however if
13 such business that is a manufacturer has fifty or fewer employees and
14 less than five hundred thousand dollars in business income this para-
15 graph shall be applicable for taxable years beginning on or after Janu-
16 ary first, two thousand thirteen.
17 § 3. This act shall take effect immediately.
