A tax is hereby imposed on the city taxable income of every city resident individual, estate and trust determined in accordance with the rates set forth in subdivision (a) of this section for taxable years beginning before two thousand twenty-four, and in accordance with the rates set forth in subdivision (b) of this section for taxable years beginning after two thousand twenty-three. Provided, however, that if, for any taxable year beginning after two thousand twenty-three, the rates set forth in such subdivision (b) are rendered inapplicable and the rates set forth in such subdivision (a) are rendered applicable, then the tax for such taxable year shall be at the rates provided under subparagraph (A) of paragraphs one, two and three of such subdivision (a).

Terms Used In N.Y. New York City Administrative Code 11-1701

  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • limited liability company: means a domestic limited liability company or a foreign limited liability company, as defined in section one hundred two of the limited liability company law, a limited liability investment company formed pursuant to section five hundred seven of the banking law, or a limited liability company formed pursuant to section one hundred two-a of the banking law. See N.Y. New York City Administrative Code 11-1701
  • Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
  • partnership: shall include , unless a different meaning is clearly required, a subchapter K limited liability company. See N.Y. New York City Administrative Code 11-1701

Notwithstanding the foregoing sentences, for taxable years beginning after two thousand two and before two thousand six, a tax is hereby imposed on the city taxable income of every city resident individual, estate and trust determined in accordance with the rates set forth in subdivision (g) of this section and in accordance with the provisions of subdivision (h) of this section. During any taxable year beginning after two thousand two and before two thousand six, in which the tax imposed pursuant to this section is determined in accordance with subdivisions (g) and (h) of this section, the rates set forth in subdivisions (a) and (b) of this section shall be inapplicable, and the tax imposed pursuant to section 11-1704.1 of this chapter shall be suspended.

(a) Rate of tax. A tax imposed pursuant to this section shall be determined as follows:

(1) Resident married individuals filing joint returns and resident surviving spouses. The tax under this section for each taxable year on the city taxable income of every city resident married individual who makes a single return jointly with his or her spouse under subdivision (b) of section 11-1751 of this chapter and on the city taxable income of every city resident surviving spouse shall be determined in accordance with the following tables: (A) For taxable years beginning after two thousand sixteen: If the city taxable income is:

The tax is: Not over $21,600

2.7% of the city taxable income Over $21,600 but not

$583 plus 3.3% of excess over $45,000

over $21,600 Over $45,000 but not

$1,355 plus 3.35% of excess over $90,000

over $45,000 Over $90,000

$2,863 plus 3.4% of excess

over $90,000

(B) For taxable years beginning after two thousand fourteen and before two thousand seventeen: If the city taxable income is:

The tax is: Not over $21,600

2.55% of the city taxable income Over $21,600 but not

$551 plus 3.1% of excess over $45,000

over $21,600 Over $45,000 but not

$1,276 plus 3.15% of excess over $90,000

over $45,000 Over $90,000 but not

$2,694 plus 3.2% of excess over $500,000

over $90,000 Over $500,000

$16,803 plus 3.4% of excess

over $500,000

(C) For taxable years beginning after two thousand nine and before two thousand fifteen: If the city taxable income is:

The tax is: Not over $21,600

2.55% of the city taxable income Over $21,600 but not

$551 plus 3.1% of excess over $45,000

over $21,600 Over $45,000 but not

$1,276 plus 3.15% of excess over $90,000

over $45,000 Over $90,000 but not

$2,694 plus 3.2% of excess over $500,000

over $90,000 Over $500,000

$15,814 plus 3.4% of excess

over $500,000

(2) Resident heads of households. The tax under this section for each taxable year on the city taxable income of every city resident head of a household shall be determined in accordance with the following tables:

(A) For taxable years beginning after two thousand sixteen: If the city taxable income is:

The tax is: Not over $14,400

2.7% of the city taxable income Over $14,400 but not

$389 plus 3.3% of excess over $30,000

over $14,400 Over $30,000 but not

$904 plus 3.35% of excess over $60,000

over $30,000 Over $60,000

$1,909 plus 3.4% of excess

over $60,000

(B) For taxable years beginning after two thousand fourteen and before two thousand seventeen: If the city taxable income is:

The tax is: Not over $14,400

2.55% of the city taxable income Over $14,400 but not

$367 plus 3.1% of excess over $30,000

over $14,400 Over $30,000 but not

$851 plus 3.15% of excess over $60,000

over $30,000 Over $60,000 but not

$1,796 plus 3.2% of excess over $500,000

over $60,000 Over $500,000

$16,869 plus 3.4% of excess

over $500,000

(C) For taxable years beginning after two thousand nine and before two thousand fifteen: If the city taxable income is:

The tax is: Not over $14,400

2.55% of the city taxable income Over $14,400 but not

$367 plus 3.1% of excess over $30,000

over $14,400 Over $30,000 but not

$851 plus 3.15% of excess over $60,000

over $30,000 Over $60,000 but not

$1,796 plus 3.2% of excess over $500,000

over $60,000 Over $500,000

$15,876 plus 3.4% of excess

over $500,000

(3) Resident unmarried individuals, resident married individuals filing separate returns and resident estates and trusts. The tax under this section for each taxable year on the city taxable income of every

city resident individual who is not a married individual who makes a single return jointly with his or her spouse under subdivision (b) of section 11-1751 of this chapter or a city resident head of a household or a city resident surviving spouse, and on the city taxable income of every city resident estate and trust shall be determined in accordance with the following tables: (A) For taxable years beginning after two thousand sixteen: If the city taxable income is:

The tax is: Not over $12,000

2.7% of the city taxable income Over $12,000 but not

$324 plus 3.3% of excess over $25,000

over $12,000 Over $25,000 but not

$753 plus 3.35% of excess over $50,000

over $25,000 Over $50,000

$1,591 plus 3.4% of excess

over $50,000

(B) For taxable years beginning after two thousand fourteen and before two thousand seventeen: If the city taxable income is:

The tax is: Not over $12,000

2.55% of the city taxable income Over $12,000 but not

$306 plus 3.1% of excess over $25,000

over $12,000 Over $25,000 but not

$709 plus 3.15% of excess over $50,000

over $25,000 Over $50,000 but not

$1,497 plus 3.2% of excess over $500,000

over $50,000 Over $500,000

$16,891 plus 3.4% of excess

over $500,000

(C) For taxable years beginning after two thousand nine and before two thousand fifteen: If the city taxable income is:

The tax is: Not over $12,000

2.55% of the city taxable income Over $12,000 but not

$306 plus 3.1% of excess over $25,000

over $12,000 Over $25,000 but not

$709 plus 3.15% of excess over $50,000

over $25,000 Over $50,000 but not

$1,497 plus 3.2% of excess over $500,000

over $50,000 Over $500,000

$15,897 plus 3.4% of excess

over $500,000

(b) Rate of tax. A tax imposed pursuant to this section shall be determined as follows:

(1) Resident married individuals filing joint returns and resident surviving spouses. The tax under this section for each taxable year on the city taxable income of every city resident married individual who makes a single return jointly with his or her spouse under subdivision (b) of section 11-1751 of this title and on the city taxable income of every city resident surviving spouse shall be determined in accordance with the following table:

For taxable years beginning after two thousand twenty-three: If the city taxable income is:

The tax is: Not over $21,600

1.18% of the city taxable income Over $21,600 but not

$255 plus 1.435% of excess

over $45,000

over $21,600 Over $45,000 but not

$591 plus 1.455% of excess over $90,000

over $45,000 Over $90,000

$1,245 plus 1.48% of excess

over $90,000

(2) Resident heads of households. The tax under this section for each taxable year on the city taxable income of every city resident head of a household shall be determined in accordance with the following table:

For taxable years beginning after two thousand twenty-three: If the city taxable income is:

The tax is: Not over $14,400

1.18% of the city taxable income Over $14,400 but not

$170 plus 1.435% of excess over $30,000

over $14,400 Over $30,000 but not

$394 plus 1.455% of excess over $60,000

over $30,000 Over $60,000

$830 plus 1.48% of excess

over $60,000

(3) Resident unmarried individuals, resident married individuals filing separate returns and resident estates and trusts. The tax under this section for each taxable year on the city taxable income of every city resident individual who is not a married individual who makes a single return jointly with his or her spouse under subdivision (b) of section 11-1751 of this title or a city resident head of a household or a city resident surviving spouse, and on the city taxable income of every city resident estate and trust shall be determined in accordance with the following table:

For taxable years beginning after two thousand twenty-three: If the city taxable income is:

The tax is: Not over $12,000

1.18% of the city taxable income Over $12,000 but not

$142 plus 1.435% of excess over $25,000

over $12,000 Over $25,000 but not

$328 plus 1.455% of excess over $50,000

over $25,000 Over $50,000

$692 plus 1.48% of excess

over $50,000

(c) Partners and partnerships. A partnership as such shall not be subject to tax under this chapter. Persons carrying on business as partners shall be liable for tax under this chapter only in their separate or individual capacities. As used in this chapter, the term “partnership” shall include, unless a different meaning is clearly required, a subchapter K limited liability company. The term “subchapter K limited liability company” shall mean a limited liability company classified as a partnership for federal income tax purposes. The term “limited liability company” means a domestic limited liability company or a foreign limited liability company, as defined in section one hundred two of the limited liability company law, a limited liability investment company formed pursuant to section five hundred seven of the banking law, or a limited liability company formed pursuant to section one hundred two-a of the banking law.

(d) Associations taxable as corporations. An association, trust or other unincorporated organization which is taxable as a corporation for federal income tax purposes shall not be subject to tax under this chapter.

(e) Exempt trusts and organizations. A trust or other unincorporated organization which by reason of its purposes or activities is exempt from federal income tax shall be exempt from tax under this chapter (regardless of whether subject to federal and state income tax on unrelated business taxable income).

(f) Cross references. For definitions of city taxable income of:

(1) City resident individual, see section 11-1711.

(2) City resident estate or trust, see section 11-1718.

(g) Rate of tax. For taxable years beginning after two thousand two and before two thousand six, the tax imposed pursuant to this section shall be determined as follows:

(1) Resident married individuals filing joint returns and resident surviving spouses. The tax under this section for each taxable year on the city taxable income of every city resident married individual who makes a single return jointly with his or her spouse under subdivision (b) of section 11-1751 of this title and on the city taxable income of every city resident surviving spouse shall be determined in accordance with the following tables:

(A) For taxable years beginning in two thousand five: If the city taxable income is:

The tax is: Not over $21,600

2.907% of the city taxable income Over $21,600 but not over $45,000

$628 plus 3.534% of excess over

$21,600 Over $45,000 but not over $90,000

$1,455 plus 3.591% of excess over

$45,000 Over $90,000 but not over $150,000

$3,071 plus 3.648% of excess over

$90,000 Over $150,000 but not over $500,000 $5,260 plus 4.05% of excess over

$150,000 Over $500,000

$19,435 plus 4.45% of excess over

$500,000

(B) For taxable years beginning in two thousand four: If the city taxable income is:

The tax is: Not over $21,600

2.907% of the city taxable income Over $21,600 but not over $45,000

$628 plus 3.534% of excess over

$21,600 Over $45,000 but not over $90,000

$1,455 plus 3.591% of excess over

$45,000 Over $90,000 but not over $150,000

$3,071 plus 3.648% of excess over

$90,000 Over $150,000 but not over $500,000 $5,260 plus 4.175% of excess over

$150,000 Over $500,000

$19,872 plus 4.45% of excess over

$500,000

(C) For taxable years beginning in two thousand three: If the city taxable income is:

The tax is: Not over $21,600

2.907% of the city taxable income Over $21,600 but not over $45,000

$628 plus 3.534% of excess over

$21,600 Over $45,000 but not over $90,000

$1,455 plus 3.591% of excess over

$45,000 Over $90,000 but not over $150,000

$3,071 plus 3.648% of excess over

$90,000 Over $150,000 but not over $500,000 $5,260 plus 4.25% of excess over

$150,000 Over $500,000

$20,135 plus 4.45% of excess over

$500,000

(2) Resident heads of households. The tax under this section for each taxable year on the city taxable income of every city resident head of a household shall be determined in accordance with the following tables:

(A) For taxable years beginning in two thousand five: If the city taxable income is:

The tax is: Not over $14,400

2.907% of the city taxable income Over $14,400 but not over $30,000

$419 plus 3.534% of excess over

$14,400 Over $30,000 but not over $60,000

$970 plus 3.591% of excess over

$30,000 Over $60,000 but not over $125,000

$2,047 plus 3.648% of excess over

$60,000 Over $125,000 but not over $500,000 $4,418 plus 4.05% of excess over

$125,000 Over $500,000

$19,606 plus 4.45% of excess over

$500,000

(B) For taxable years beginning in two thousand four: If the city taxable income is:

The tax is: Not over $14,400

2.907% of the city taxable income Over $14,400 but not over $30,000

$419 plus 3.534% of excess over

$14,400 Over $30,000 but not over $60,000

$970 plus 3.591% of excess over

$30,000 Over $60,000 but not over $125,000

$2,047 plus 3.648% of excess over

$60,000 Over $125,000 but not over $500,000 $4,418 plus 4.175% of excess over

$125,000 Over $500,000

$20,075 plus 4.45% of excess over

$500,000

(C) For taxable years beginning in two thousand three: If the city taxable income is:

The tax is: Not over $14,400

2.907% of the city taxable income Over $14,400 but not over $30,000

$419 plus 3.534% of excess over

$14,400 Over $30,000 but not over $60,000

$970 plus 3.591% of excess over

$30,000 Over $60,000 but not over $125,000

$2,047 plus 3.648% of excess over

$60,000 Over $125,000 but not over $500,000 $4,418 plus 4.25% of excess over

$125,000 Over $500,000

$20,356 plus 4.45% of excess over

$500,000

(3) Resident unmarried individuals, resident married individuals filing separate returns and resident estates and trusts. The tax under this section for each taxable year on the city taxable income of every

city resident individual who is not a married individual who makes a single return jointly with his or her spouse under subdivision (b) of section 11-1751 of this title or a city resident head of household or a city resident surviving spouse, and on the city taxable income of every city resident estate and trust shall be determined in accordance with the following tables:

(A) For taxable years beginning in two thousand five: If the city taxable income is:

The tax is: Not over $12,000

2.907% of the city taxable income Over $12,000 but not over $25,000

$349 plus 3.534% of excess over

$12,000 Over $25,000 but not over $50,000

$808 plus 3.591% of excess over

$25,000 Over $50,000 but not over $100,000

$1,706 plus 3.648% of excess over

$50,000 Over $100,000 but not over $500,000 $3,530 plus 4.05% of excess over

$100,000 Over $500,000

$19,730 plus 4.45% of excess over

$500,000

(B) For taxable years beginning in two thousand four: If the city taxable income is:

The tax is: Not over $12,000

2.907% of the city taxable income Over $12,000 but not over $25,000

$349 plus 3.534% of excess over

$12,000 Over $25,000 but not over $50,000

$808 plus 3.591% of excess over

$25,000 Over $50,000 but not over $100,000

$1,706 plus 3.648% of excess over

$50,000 Over $100,000 but not over $500,000 $3,530 plus 4.175% of excess over

$100,000 Over $500,000

$20,230 plus 4.45% of excess over

$500,000

(C) For taxable years beginning in two thousand three: If the city taxable income is:

The tax is: Not over $12,000

2.907% of the city taxable income Over $12,000 but not over $25,000

$349 plus 3.534% of excess over

$12,000 Over $25,000 but not over $50,000

$808 plus 3.591% of excess over

$25,000 Over $50,000 but not over $100,000

$1,706 plus 3.648% of excess over

$50,000 Over $100,000 but not over $500,000 $3,530 plus 4.25% of excess over

$100,000 Over $500,000

$20,530 plus 4.45% of excess over

$500,000

(h) Tax table benefit recapture. For taxable years beginning after two thousand two and before two thousand six, there is hereby imposed a supplemental tax, in addition to the tax imposed under the opening paragraph of this section, for the purpose of recapturing the benefit of the tax tables contained in subdivision (g) of this section. The supplemental tax shall be an amount equal to the sum of the tax table

benefits in paragraphs one and two of this subdivision multiplied by their respective fractions in such paragraphs provided, however, that paragraph one of this subdivision shall not apply to taxpayers who are not subject to the second highest rate of tax.

(1) Resident married individuals filing joint returns, surviving spouses, resident heads of households, resident unmarried individuals, resident married individuals filing separate returns and resident estates and trusts. (A) The tax table benefit is the difference between (i) the amount of taxable income set forth in the tax table in subdivision (g) of this section not subject to the second highest rate of tax for the taxable year multiplied by such rate and (ii) the second highest dollar denominated tax for such amount of taxable income set forth in the tax table applicable to the taxable year in subdivision (g) of this section.

(B) The fraction is computed as follows: the numerator is the lesser of fifty thousand dollars or the excess of New York adjusted gross income for the taxable year over one hundred fifty thousand dollars and the denominator is fifty thousand dollars.

(C) This paragraph shall only apply to taxable years beginning after two thousand two and before two thousand six.

(2) Resident married individuals filing joint returns, surviving spouses, resident heads of households, resident unmarried individuals, resident married individuals filing separate returns and resident estates and trusts. (A) The tax table benefit is the difference between (i) the amount of taxable income set forth in the tax table in subdivision (g) of this section not subject to the highest rate of tax for the taxable year multiplied by such rate and (ii) the highest dollar denominated tax for such amount of taxable income set forth in the tax table applicable to the taxable year in subdivision (g) of this section less the sum of the tax table benefits in paragraph one of this subdivision.

(B) For such taxpayers with adjusted gross income over five hundred thousand dollars, the fraction is one. Provided, however, that the total tax prior to the application of any tax credits shall not exceed the highest rate of tax set forth in the tax table in subdivision (g) of this section multiplied by the taxpayer’s taxable income.

(C) This paragraph shall only apply to taxable years beginning after two thousand two and before two thousand six.