Current through Register Vol. 47, No. 12, March 26, 2025
(a) If the taxpayer or designated agent, in
the case of a combined group, has made the fixed percentage method election in
the manner required by subdivision (c) of section
4-2.4 of this Subpart, then 8% of
marked to market net gains (not less than zero) from each type of qualified
financial instrument is included in New York receipts and 100% of such marked
to market net gains are included in everywhere receipts.
(b) If the taxpayer or designated agent, in
the case of a combined group, has not made the fixed percentage method
election, then the amount of marked to market net gains from qualified
financial instruments included in New York receipts and everywhere receipts is
determined using the rules set forth in paragraphs (1), (2) and (3) of this
subdivision. The amount of marked to market net gains (not less than zero) from
instruments that are not qualified financial instruments included in New York
receipts or everywhere receipts is also determined using the rules set forth in
paragraphs (1), (2) and (3) of this subdivision.
(1) Marked to market net gains (not less than
zero) from stocks are not included in New York receipts or everywhere receipts,
unless the commissioner has required the corporation's net gains from sales of
stocks be included in the apportionment factor. Marked to market net gains (not
less than zero) from partnership interests are not included in New York
receipts or everywhere receipts, unless the commissioner has required that the
corporation's net gains from the sale of partnership interests be included in
the apportionment factor.
(2) The
amount of marked to market net gains (not less than zero) from each type of
financial instrument included in New York receipts is determined by multiplying
the marked to market net gains (not less than zero) from each such type of
financial instrument by a fraction, the numerator of which is the net gains
from actual sales of that type of financial instrument included in New York
receipts determined under the applicable clause of section 210-A(5)(a)(2) and
regulations in this Subchapter and the denominator of which is the net gains
from actual sales of that type of financial instrument included in everywhere
receipts determined under the applicable clause of section 210-A(5)(a)(2) and
the regulations in this Subchapter. Marked to market net gains (not less than
zero) from the financial instruments subject to the rules in this paragraph are
included in everywhere receipts.
(3) If there are no actual sales of a type of
financial instrument that is marked to market or if the corporation has an
overall net loss from the actual sale of that type of financial instrument, the
amount of marked to market net gains (not less than zero) from that type of
financial instrument included in New York receipts is determined by multiplying
the marked to market net gains (but not less than zero) from that type of
financial instrument by a fraction, the numerator of which is the sum of the
amount of receipts included in New York receipts under clauses (A) - (I) of
section 210-A(5)(a)(2) and subclause (ii) of section 210-A(5)(a)(2)(J), and the
denominator of which is the sum of the amount of receipts included in the
everywhere receipts under clauses (A) - (I) of section 210-A(5)(a)(2) and
subclause (ii) of section 210-A(5)(a)(2)(J). 100% of marked to market net gains
(not less than zero) for which the amount to be included in New York receipts
is determined under this paragraph are included in everywhere
receipts.
