Bill Text: NY A05954 | 2009-2010 | General Assembly | Amended
Bill Title: Exempts farm operations from limited liability filing fees and certain business franchise taxes.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-02-18 - print number 5954a [A05954 Detail]
Download: New_York-2009-A05954-Amended.html
S T A T E O F N E W Y O R K
________________________________________________________________________
5954--A
2009-2010 Regular Sessions
I N A S S E M B L Y
February 23, 2009
___________
Introduced by M. of A. MAGEE -- read once and referred to the Committee
on Ways and Means -- recommitted to the Committee on Ways and Means in
accordance with Assembly Rule 3, sec. 2 -- committee discharged, bill
amended, ordered reprinted as amended and recommitted to said commit-
tee
AN ACT to amend the tax law, in relation to limited liability company
fees and business corporation franchise taxes for farms and commercial
horse boarding operations
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. Paragraph 3 of subsection (c) of section 658 of the tax
2 law, as amended by section 1 of part H-1 of chapter 57 of the laws of
3 2009, is amended to read as follows:
4 (3) Filing fees. (A) Every subchapter K limited liability company,
5 every limited liability company that is a disregarded entity for federal
6 income tax purposes, and every partnership which has any income derived
7 from New York sources, determined in accordance with the applicable
8 rules of section six hundred thirty-one of this article as in the case
9 of a nonresident individual, shall, within thirty days after the last
10 day of the taxable year, make a payment of a filing fee. SUCH DEADLINE
11 SHALL NOT APPLY TO FARMS OR COMMERCIAL HORSE BOARDING OPERATIONS, WHICH
12 SHALL, WITHIN ONE HUNDRED TWENTY DAYS AFTER THE LAST DAY OF THE TAXABLE
13 YEAR, MAKE PAYMENT OF A FILING FEE. The amount of the filing fee is the
14 amount set forth in subparagraph (B) of this paragraph. The minimum
15 filing fee is twenty-five dollars for taxable years beginning in two
16 thousand eight and thereafter. Limited liability companies that are
17 disregarded entities for federal income tax purposes must pay a filing
18 fee of twenty-five dollars for taxable years beginning on or after Janu-
19 ary first, two thousand eight.
20 (B) The filing fee will be based on the New York source gross income
21 of the limited liability company or partnership for the taxable year
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07730-03-0
A. 5954--A 2
1 immediately preceding the taxable year for which the fee is due. If the
2 limited liability company or partnership does not have any New York
3 source gross income for the taxable year immediately preceding the taxa-
4 ble year for which the fee is due, the limited liability company or
5 partnership shall pay the minimum filing fee. Partnerships, other than
6 limited liability partnerships under article eight-B of the partnership
7 law and foreign limited liability partnerships, with less than one
8 million dollars in New York source gross income are exempt from the
9 filing fee. New York source gross income is the sum of the partners' or
10 members' shares of federal gross income from the partnership or limited
11 liability company derived from or connected with New York sources,
12 determined in accordance with the provisions of section six hundred
13 thirty-one of this article as if those provisions and any related
14 provisions expressly referred to a computation of federal gross income
15 from New York sources. For this purpose, federal gross income is
16 computed without any allowance or deduction for cost of goods sold,
17 EXCEPT THAT FOR COMPANIES ENGAGED PRIMARILY IN FARMING OR COMMERCIAL
18 HORSE BOARDING, FEDERAL GROSS INCOME SHALL BE BASED UPON NET INCOME AS
19 REPORTED FOR 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 (C) No credits provided by this article may be taken against the fee
32 imposed by this paragraph.
33 (D) Where the filing fee is not timely paid, it shall be paid upon
34 notice and demand and shall be assessed, collected and paid in the same
35 manner as taxes, and for those purposes any reference in this article to
36 tax imposed by this article shall be deemed also to refer to this filing
37 fee.
38 S 2. Subparagraph 4 of paragraph (d) of subdivision 1 of section 210
39 of the tax law, as added by section 2 of part AA-1 of chapter 57 of the
40 laws of 2008, is amended to read as follows:
41 (4) Notwithstanding subparagraphs one and two of this paragraph, for
42 taxable years beginning on or after January first, two thousand eight,
43 the amount prescribed by this paragraph for New York S corporations will
44 be determined in accordance with the following table:
45 If New York receipts are: The fixed dollar
46 minimum tax is:
47 not more than $100,000 $25
48 more than $100,000 but not over $250,000 $50
49 more than $250,000 but not over $500,000 $175
50 more than $500,000 but not over $1,000,000 $300
51 more than $1,000,000 but not over $5,000,000 $1,000
52 more than $5,000,000 but not over $25,000,000 $3,000
53 Over $25,000,000 $4,500
A. 5954--A 3
1 Otherwise the amount prescribed by this paragraph will be determined in
2 accordance with the following table:
3 If New York receipts are: The fixed dollar
4 minimum tax is:
5 not more than $100,000 $25
6 more than $100,000 but not over $250,000 $75
7 more than $250,000 but not over $500,000 $175
8 more than $500,000 but not over $1,000,000 $500
9 more than $1,000,000 but not over $5,000,000 $1,500
10 more than $5,000,000 but not over $25,000,000 $3,500
11 Over $25,000,000 $5,000
12 For purposes of this paragraph, New York receipts are the receipts
13 computed in accordance with subparagraph two of paragraph (a) of subdi-
14 vision three of this section for the taxable year, EXCEPT THAT FOR
15 CORPORATIONS ENGAGED PRIMARILY IN FARMING OR COMMERCIAL HORSE BOARDING,
16 THE TERM NEW YORK RECEIPTS SHALL REFER TO NET FARM INCOME AS REPORTED
17 FOR FEDERAL TAX PURPOSES.
18 S 3. This act shall take effect immediately and shall apply to taxable
19 years beginning on or after January 1, 2010.
