A New York Administrative Law Judge recently determined that a married couple who purchased a home in Florida in 2013 with the intention of retiring in the state, but retained ties to New York, could not prove that they abandoned their New York domicile in 2014. In arriving at her conclusion the ALJ focused on
New York
A real SOL situation: New York Tax Appeals Tribunal dismisses case for untimely filing
By Ted Friedman & Elizabeth Cha on
Posted in New York
On April 15, 2021, the New York Tax Appeals Tribunal (“Tribunal”) dismissed a taxpayer’s exception to an order of an Administrative Law Judge (“ALJ”) on the grounds that the exception was not timely filed. The Tribunal determined that the ALJ’s order was properly mailed to the taxpayer on June 11, 2020, that an exception to…
New York State Advisory Opinion Finds IT Support Services Not Subject to Sales Tax
By Eric Coffill & Annie Rothschild on
Posted in New York
The New York State Department of Taxation and Finance released an advisory opinion finding the Petitioner’s fee paid for IT support services was not subject to sales and use tax because the only taxable component of the services was delivered to the Petitioner outside of New York. The Petitioner hired a New York-based company to…
New York is Number One with New Personal Income Tax Rates
By Nikki Dobay & Michael Hilkin on
“New Yorkers love to believe that we’re number one in everything. We’re certainly number one in something now, and that’s personal income tax rates.”
Ken Pokalsky, Vice President of The Business Council of New York State, and Michael Hilkin, Counsel in the New York office of Eversheds Sutherland, join Partner Nikki Dobay on…
New York Appellate Division holds compensation paid to both client facing and back office employees must be accounted for in computing NYC receipts factor
By Ted Friedman & Chelsea Marmor on
Posted in Income Tax, New York
The New York State Supreme Court, Appellate Division, affirmed a New York City Tax Appeals Tribunal decision regarding the proper method for calculating a corporation’s receipts factor for General Corporation Tax purposes. The corporation offered a subscription-based service that allowed its clients access to experts and consultants in a broad variety of disciplines, and access…
New York Department of Taxation finds that IT support service was not subject to sales tax
By Jonathan Feldman & Chris Lee on
Posted in Digital Economy, New York
The New York State Department of Taxation and Finance issued an advisory opinion determining that the fee paid for an information technology support service was not subject to sales and use tax because the taxable component of the service was delivered outside of New York. The taxpayer provided investment advice to its customers and as…
New York Tax Department determines taxability of online request for proposal services
By Jonathan Feldman, Chris Lee & Charles Capouet on
Posted in Digital Economy, New York
The New York State Department of Taxation and Finance issued an advisory opinion, determining the taxability of two online services sold by a taxpayer relating to government requests for proposal: (1) the procurement service was nontaxable; but (2) the notification service was a taxable information service. The procurement service allowed government customers to create…
Legal Alert: New York Legislature finalizes FY 2022 budget
Posted in Legal Alert, New York
On April 6 & 7, 2021, the New York Assembly and Senate passed Fiscal Year 2022 budget legislation addressing revenues and taxation (the Budget Bill). The Budget Bill is part of a broader deal between Governor Cuomo and both chambers of the Legislature. The Budget Bill is expected to raise $3.5 billion in new…
New York Tax Department concludes online webhosting product not subject to sales tax
By Jonathan Feldman, Charles Capouet & Chris Lee on
Posted in Digital Economy, New York
The New York State Department of Taxation and Finance issued an advisory opinion, concluding that a taxpayer’s charges for its online webhosting solution were not subject to sales tax. The customers pay an annual fee for their events (audio and video meetings, conferences, webinars and live presentations) to be hosted and maintained and also…
New York finds that exclusion of out of state corporation from transfer tax exemption was not unconstitutional
By Nikki Dobay & Chris Lee on
Posted in New York
The New York Supreme Court, Appellate Division, ruled that a tax exemption that applied to New York special non-profit local development corporations only did not violate the equal protection clause or commerce clause of the US Constitution. New York imposes a mortgage recording tax on each mortgage of real property situated in New York and…