New York Codes, Rules and Regulations
Title 20 - DEPARTMENT OF TAXATION AND FINANCE
Chapter I - Franchise and Certain Business Taxes
Subchapter A - Business Corporation Franchise Tax
Part 9 - SPECIAL ENTITIES
Subpart 9-3 - NEW YORK S CORPORATIONS
Section 9-3.2 - Nonresident and part-year resident shareholders of New York S corporations
Current through Register Vol. 46, No. 12, March 20, 2024
(Tax Law, sections 631, 632)
(a) To determine the amounts derived from New York sources for purposes of article 22, a nonresident shareholder of a New York S corporation multiplies its pro-rata share of the New York S corporation's items of income, gain, loss, and deduction (and any related section 612 modifications) that are included in the nonresident shareholder's New York adjusted gross income by a fraction, the numerator of which is the New York S corporation's New York receipts and the denominator of which is the New York S corporation's everywhere receipts. Such fraction is hereinafter referred to as the apportionment factor.
(b) For part-year resident shareholders, the rule in subdivision (a) applies only to the New York S corporation's items received during the nonresident period of the taxable year (and any related section 612 modifications) that are included in the part-year resident's New York adjusted gross income.
