2012 New York Consolidated Laws
TAX - Tax
Article 9-A - (208 - 219-A) FRANCHISE TAX ON BUSINESS CORPORATIONS
211 - Reports.

 
    §   211.  Reports.  1.  Every  taxpayer,  as  well  as  every  foreign
  corporation having an employee, including any officer, within the state,
  shall annually  on  or  before  March  fifteenth  transmit  to  the  tax
  commission  a  report  in  a  form  prescribed  by  it  (except  that  a
  corporation which reports on the basis of a fiscal year  shall  transmit
  its  report within two and one-half months after the close of its fiscal
  year and except, also, that a corporation which is a DISC shall transmit
  its report on or before the fifteenth day of the ninth  month  following
  the   close  of  its  calendar  or  fiscal  year),  setting  forth  such
  information as the tax commission may prescribe and every taxpayer which
  ceases to exercise its franchise or to be subject to the tax imposed  by
  this  article  shall transmit to the tax commission a report on the date
  of such cessation or at such  other  time  as  the  tax  commission  may
  require covering each year or period for which no report was theretofore
  filed.  In  the  case  of  a termination year of an S corporation, the S
  short year and the C short year  shall  be  treated  as  separate  short
  taxable  years,  provided, however, the due date of the report for the S
  short year shall be the same as the due date of the  report  for  the  C
  short  year.  Every  taxpayer shall also transmit such other reports and
  such facts and information as the tax  commission  may  require  in  the
  administration  of  this  article.    The  tax  commission  may  grant a
  reasonable extension of time for  filing  reports  whenever  good  cause
  exists.
    An  automatic  extension  of  six  months for the filing of its annual
  report shall be allowed any taxpayer if, within the time  prescribed  by
  the  preceding paragraph, such taxpayer files with the tax commission an
  application for extension in such form as said commission may  prescribe
  by  regulation  and pays on or before the date of such filing the amount
  properly estimated as its tax.
    2. Every report shall have annexed  thereto  a  certification  by  the
  president,   vice-president,   treasurer,   assistant  treasurer,  chief
  accounting officer or any other officer of the taxpayer duly  authorized
  so  to act to the effect that the statements contained therein are true.
  In the case of an association, within the meaning of paragraph three  of
  section (a) of section seventy-seven hundred one of the internal revenue
  code,  a  publicly  traded  partnership  treated  as  a  corporation for
  purposes of the internal revenue code pursuant to section  seventy-seven
  hundred four thereof and any business conducted by a trustee or trustees
  wherein  interest  or  ownership  is  evidenced by certificates or other
  written instruments such certification shall be made by any person  duly
  authorized  so  to  act  on  behalf of such association, publicly traded
  partnership or business. The fact that an individual's name is signed on
  a certification of the report shall be prima facie  evidence  that  such
  individual is authorized to sign and certify the report on behalf of the
  corporation.   Blank   forms  of  reports  shall  be  furnished  by  the
  commissioner of taxation and finance, on  application,  but  failure  to
  secure  such  a  blank  shall  not  release  any  corporation  from  the
  obligation of making any report required by this article.
    2-a. The tax commission may  prescribe  regulations  and  instructions
  requiring  returns  of  information  to be made and filed in conjunction
  with the reports required to be filed pursuant to  section  two  hundred
  eleven,  relating  to  payments made to shareholders owning, directly or
  indirectly, individually or in the aggregate, more than fifty percent of
  the issued capital stock  of  the  taxpayer,  where  such  payments  are
  treated  as payments of interest in the computation of entire net income
  or minimum taxable income reported on such reports.
    3. If the amount of taxable  income  or  alternative  minimum  taxable
  income  for  any  year of any taxpayer (including any taxpayer which has

  elected to be taxed under subchapter s of chapter one  of  the  internal
  revenue  code),  as returned to the United States treasury department is
  changed or corrected by the commissioner of internal  revenue  or  other
  officer  of  the  United States or other competent authority, or where a
  renegotiation of a  contract  or  subcontract  with  the  United  States
  results  in  a  change  in taxable income or alternative minimum taxable
  income, such taxpayer shall report such  changed  or  corrected  taxable
  income  or  alternative  minimum  taxable income, or the results of such
  renegotiation, within ninety days (or one hundred twenty  days,  in  the
  case  of a taxpayer making a combined report under this article for such
  year) after the final determination of  such  change  or  correction  or
  renegotiation, or as required by the commissioner, and shall concede the
  accuracy  of  such  determination  or state wherein it is erroneous. The
  allowance of a tentative carryback adjustment based upon a net operating
  loss carryback  or  net  capital  loss  carryback  pursuant  to  section
  sixty-four  hundred  eleven  of  the  internal revenue code, as amended,
  shall  be  treated  as  a  final  determination  for  purposes  of  this
  subdivision.  Any taxpayer filing an amended return with such department
  shall also file within ninety days thereafter an amended report with the
  commissioner.
    4. (a) Combined reports permitted or  required.  Any  taxpayer,  which
  owns  or  controls  either  directly or indirectly substantially all the
  capital stock of one or more other corporations,  or  substantially  all
  the  capital  stock  of  which is owned or controlled either directly or
  indirectly by one or more other corporations or by interests  which  own
  or  control  either directly or indirectly substantially all the capital
  stock of one or more other corporations,  (hereinafter  referred  to  in
  this  paragraph as "related corporations"), shall make a combined report
  covering   any   related   corporations   if   there   are   substantial
  intercorporate  transactions  among the related corporations, regardless
  of the transfer price for such intercorporate transactions.  It  is  not
  necessary  that there be substantial intercorporate transactions between
  any  one  corporation  and  every  other  related  corporation.  It   is
  necessary,   however,   that   there   be   substantial   intercorporate
  transactions  between  the  taxpayer  and  a  related   corporation   or
  collectively, a group of such related corporations. The report shall set
  forth  such  information as the commissioner may require, subject to the
  provisions of subparagraphs one through five of this paragraph.
    In  determining   whether   there   are   substantial   intercorporate
  transactions,   the   commissioner   shall  consider  and  evaluate  all
  activities  and  transactions  of   the   taxpayer   and   its   related
  corporations.  Activities  and  transactions  that  will  be  considered
  include, but are not limited to: (i) manufacturing, acquiring  goods  or
  property, or performing services, for related corporations; (ii) selling
  goods  acquired  from  related  corporations;  (iii)  financing sales of
  related corporations; (iv) performing related  customer  services  using
  common  facilities and employees for related corporations; (v) incurring
  expenses that benefit, directly  or  indirectly,  one  or  more  related
  corporations,  and  (vi)  transferring  assets, including such assets as
  accounts receivable, patents or trademarks  from  one  or  more  related
  corporations.
    (1)  Any  corporation  which  owns  or  controls  either  directly  or
  indirectly substantially all the capital stock of a DISC not exempt from
  tax under paragraph (i) of subdivision nine of section two hundred eight
  of this article shall be allowed, at the election of  such  corporation,
  to make a report on a combined basis covering such DISC, but the failure
  of  such  corporation  to  make  such  election  shall  not prohibit the

  commissioner from requiring a combined report covering such  corporation
  and such DISC.
    (2)(i)  No  taxpayer  may  be permitted to make a report on a combined
  basis covering any such other corporations where such  taxpayer  or  any
  such  other  corporation  allocates  in  accordance  with  clause (A) of
  subparagraph seven of paragraph (a) of subdivision three of section  two
  hundred ten of this article (relating to aviation corporations) and such
  taxpayer or any such other corporation does not so allocate, unless such
  taxpayer  or such other corporation is a qualified air freight forwarder
  with respect to such other corporation or such  taxpayer,  respectively,
  and all taxpayers included on such combined report elect, by filing such
  combined  report,  to  have  such  qualified  air  freight  forwarder so
  included.
    (ii) A corporation is a qualified air freight forwarder  with  respect
  to another corporation:
    (A)  if  it  owns or controls either directly or indirectly all of the
  capital stock of such other corporation, or if all of its capital  stock
  is  owned  or  controlled  either  directly  or indirectly by such other
  corporation, or if all of the capital  stock  of  both  corporations  is
  owned or controlled either directly or indirectly by the same interests,
    (B)  if  it  is  principally  engaged  in  the business of air freight
  forwarding, and
    (C) if its air freight forwarding business is carried  on  principally
  with the airline or airlines operated by such other corporation.
    (3)  No taxpayer may be permitted to make a report on a combined basis
  covering any such other corporations where such  taxpayer  or  any  such
  other  corporation  allocates  in  accordance with subparagraph eight of
  paragraph (a) of subdivision three of section two hundred  ten  of  this
  article  (relating  to  railroad  and  trucking  corporations)  and such
  taxpayer or any such other corporation does not so allocate.
    (4) Except as provided in the first  undesignated  paragraph  of  this
  paragraph, no combined report covering any corporation shall be required
  unless  the  commissioner  deems  such  a  report  necessary, because of
  inter-company transactions or some agreement, understanding, arrangement
  or transaction referred to in subdivision five of this section, in order
  properly to reflect the tax liability under this article.
    (5) A corporation organized under the laws of a country other than the
  United States shall not be required or permitted to make a report  on  a
  combined basis.
    (6)   (i)  For  purposes  of  this  subparagraph,  the  term  "closest
  controlling stockholder" means the corporation that indirectly  owns  or
  controls  over  fifty  percent  of the voting stock of a captive REIT or
  captive RIC, is subject to tax under this article, article thirty-two or
  thirty-three of this chapter or otherwise required to be included  in  a
  combined  return  or  report  under  this article, article thirty-two or
  thirty-three of this chapter, and is the fewest  tiers  of  corporations
  away  in  the  ownership structure from the captive REIT or captive RIC.
  The commissioner is authorized to prescribe by regulation  or  published
  guidance   the   criteria   for   determining  the  closest  controlling
  stockholder.
    (ii) A captive REIT or a captive RIC must be included  in  a  combined
  report  with  the  corporation that directly owns or controls over fifty
  percent of the voting stock of the captive REIT or captive RIC  if  that
  corporation  is  subject to tax or required to be included in a combined
  report under this article.
    (iii) If over fifty percent of the voting stock of a captive  REIT  or
  captive RIC is not directly owned or controlled by a corporation that is
  subject  to  tax  or  required to be included in a combined report under

  this article, then the captive REIT or captive RIC must be included in a
  combined return or report with  the  corporation  that  is  the  closest
  controlling  stockholder  of  the  captive  REIT  or captive RIC. If the
  closest  controlling  stockholder  of the captive REIT or captive RIC is
  subject to tax or otherwise required to be included in a combined report
  under this article, then  the  captive  REIT  or  captive  RIC  must  be
  included in a combined report under this article.
    (iv)  If  the  corporation  that  directly owns or controls the voting
  stock of the captive REIT or captive RIC is  described  in  subparagraph
  two,  three  or five of this paragraph as a corporation not permitted to
  make a combined report, then the provisions  in  clause  (iii)  of  this
  subparagraph  must  be  applied  to  determine  the corporation in whose
  combined return or report the captive REIT  or  captive  RIC  should  be
  included.  If,  under clause (iii) of this subparagraph, the corporation
  that is the closest controlling  stockholder  of  the  captive  REIT  or
  captive  RIC  is  described  in  subparagraph two, three or five of this
  paragraph as a corporation not permitted to make a combined return, then
  that corporation is deemed to not be in the ownership structure  of  the
  captive  REIT  or  captive  RIC, and the closest controlling stockholder
  will be determined without regard to that corporation.
    (v) If a captive REIT owns the stock of a  qualified  REIT  subsidiary
  (as  defined in paragraph two of subsection (i) of section eight hundred
  fifty-six of  the  internal  revenue  code),  then  the  qualified  REIT
  subsidiary must be included in a combined report with the captive REIT.
    (vi)  If  a  captive  REIT  or  a  captive  RIC is required under this
  subparagraph  to  be  included  in  a  combined  report   with   another
  corporation,  and that other corporation is also required to be included
  in a combined report with another related  corporation  or  corporations
  under  this  paragraph, then the captive REIT or the captive RIC must be
  included in that combined report with those corporations.
    (vii) If a captive REIT or  a  captive  RIC  is  not  required  to  be
  included in a combined report with another corporation under clause (ii)
  or  (iii)  of  this  subparagraph,  or  in  a  combined return under the
  provisions of either subparagraph (v) of paragraph two of subsection (f)
  of section fourteen hundred sixty-two or paragraph four  of  subdivision
  (f) of section fifteen hundred fifteen of this chapter, then the captive
  REIT  or  captive  RIC  is  subject  to  the  opening provisions of this
  paragraph and the provisions of subparagraph four of this paragraph. The
  captive REIT or captive RIC must be included in a combined report  under
  this   article  with  another  corporation  if  either  the  substantial
  intercorporate transactions requirement in  the  opening  provisions  of
  this   paragraph   or   the  inter-company  transactions  or  agreement,
  understanding, arrangement or transaction  requirement  of  subparagraph
  four  of  this paragraph is satisfied and more than fifty percent of the
  voting stock of the captive REIT or the captive  RIC  and  substantially
  all  of  the  capital  stock  of  that  other  corporation are owned and
  controlled, directly or indirectly, by the same corporation.
    (7)  (i)  For  purposes  of  this  subparagraph,  the  term   "closest
  controlling  stockholder"  means the corporation that indirectly owns or
  controls over fifty percent of the voting stock  of  an  overcapitalized
  captive  insurance  company;  is  subject  to  tax under this article or
  article thirty-two of this chapter,  or  is  otherwise  required  to  be
  included  in  a  combined return or report under this article or article
  thirty-two of this chapter; and is the fewest tiers of corporations away
  in the ownership structure from the  overcapitalized  captive  insurance
  company.    The commissioner is authorized to prescribe by regulation or
  published guidance the criteria for determining the closest  controlling
  stockholder.

    (ii)  An overcapitalized captive insurance company must be included in
  a combined report with the corporation that directly  owns  or  controls
  over  fifty  percent  of the voting stock of the overcapitalized captive
  insurance company if that corporation is subject to tax or  required  to
  be included in a combined report under this article.
    (iii)  If over fifty percent of the voting stock of an overcapitalized
  captive insurance company is not  directly  owned  or  controlled  by  a
  corporation  that  is  subject  to  tax  or required to be included in a
  combined report under this article,  then  the  overcapitalized  captive
  insurance  company  must be included in a combined return or report with
  the corporation that is  the  closest  controlling  stockholder  of  the
  overcapitalized  captive  insurance  company. If the closest controlling
  stockholder of the overcapitalized captive insurance company is  subject
  to  tax  or otherwise required to be included in a combined report under
  this article, then the overcapitalized captive insurance company must be
  included in a combined report under this article.
    (iv) If the corporation that directly  owns  or  controls  the  voting
  stock  of  the overcapitalized captive insurance company is described in
  subparagraph two, three, or five of this paragraph as a corporation  not
  permitted to make a combined report, then the provisions in clause (iii)
  of  this  subparagraph  must  be applied to determine the corporation in
  whose combined return or report the  overcapitalized  captive  insurance
  company should be included. If, under clause (iii) of this subparagraph,
  the  corporation  that  is  the  closest  controlling stockholder of the
  overcapitalized captive insurance company is described  in  subparagraph
  two,  three  or five of this paragraph as a corporation not permitted to
  make a combined return, then that corporation is deemed not to be in the
  ownership structure of the overcapitalized  captive  insurance  company,
  and  the  closest  controlling  stockholder  will  be determined without
  regard to that corporation.
    (v) If an overcapitalized captive insurance company is required  under
  this  subparagraph  to  be  included  in  a combined report with another
  corporation, and that other corporation is also required to be  included
  in  a  combined  report with another related corporation or corporations
  under this paragraph, then the overcapitalized captive insurance company
  must be included in that combined report with those corporations.
    (vi) If an overcapitalized captive insurance company is  not  required
  to  be  included  in  a  combined  report with another corporation under
  clause (ii) or (iii) of this subparagraph, or in a combined return under
  the provisions of subparagraph (v) of paragraph two of subsection (f) of
  section  fourteen  hundred  sixty-two  of   this   chapter,   then   the
  overcapitalized  captive  insurance  company  is  subject to the opening
  provisions of this paragraph and the provisions of subparagraph four  of
  this  paragraph.  The  overcapitalized captive insurance company must be
  included  in  a  combined  report  under  this  article   with   another
  corporation   if  either  the  substantial  intercorporate  transactions
  requirement  in  the  opening  provisions  of  this  paragraph  or   the
  inter-company  transactions  or agreement, understanding, arrangement or
  transaction requirement  of  subparagraph  four  of  this  paragraph  is
  satisfied,  and  both more than fifty percent of the voting stock of the
  overcapitalized captive insurance company and substantially all  of  the
  capital  stock  of  that  other  corporation  are  owned and controlled,
  directly or indirectly, by the same corporation.
    (b) Computation. (1) Tax. (i) In the case of a combined report the tax
  shall be measured by the combined entire net  income,  combined  minimum
  taxable  income,  combined  pre-nineteen  hundred ninety minimum taxable
  income or combined capital, of all  the  corporations  included  in  the
  report,  including  any  captive  REIT,  captive  RIC or overcapitalized

  captive insurance company; provided, however, in no event shall the  tax
  measured  by  combined  capital  exceed  the  limitation provided for in
  paragraph (b) of subdivision one of section  two  hundred  ten  of  this
  article.
    (ii)  In the case of a captive REIT or captive RIC required under this
  subdivision to be included in a combined report, entire net income  must
  be computed as required under subdivision five (in the case of a captive
  REIT) or subdivision seven (in the case of a captive RIC) of section two
  hundred  nine of this article. However, the deduction under the internal
  revenue code for dividends paid by the captive REIT or  captive  RIC  to
  any  member  of  the affiliated group that includes the corporation that
  directly or indirectly owns over fifty percent of the  voting  stock  of
  the  captive  REIT or captive RIC shall not be allowed for taxable years
  beginning on or after  January  first,  two  thousand  eight.  The  term
  "affiliated  group"  means  "affiliated  group"  as  defined  in section
  fifteen hundred four of the internal revenue code, but without regard to
  the exceptions provided for in subsection (b) of that section.
    (iii) In the case of  an  overcapitalized  captive  insurance  company
  required  under  this  subdivision  to be included in a combined report,
  entire net income must be computed as required by  subdivision  nine  of
  section two hundred eight of this article.
    (2)  Tax  bases.  In  computing  combined  entire net income, combined
  minimum taxable income or combined pre-nineteen hundred  ninety  minimum
  taxable   income   intercorporate  dividends  shall  be  eliminated,  in
  computing  combined  business  and  investment  capital   intercorporate
  stockholdings  and  intercorporate  bills, notes and accounts receivable
  and payable and other intercorporate indebtedness  shall  be  eliminated
  and    in   computing   combined   subsidiary   capital   intercorporate
  stockholdings   shall   be   eliminated,   provided,    however,    that
  intercorporate  dividends  from  a DISC or a former DISC not exempt from
  tax under paragraph (i) of subdivision nine of section two hundred eight
  of this article which are taxable as business income under this  article
  shall not be eliminated.
    (3)  Air freight forwarders: allocation. Notwithstanding any provision
  of law to the contrary, where a combined report includes a qualified air
  freight forwarder and a corporation described in subparagraph  seven  of
  paragraph  (a)  of  subdivision three of section two hundred ten of this
  chapter (relating to aviation corporations), in computing  the  combined
  business  allocation percentage such subparagraph seven shall be applied
  with respect to such qualified air freight forwarder.
    5. In case it shall appear to the tax commission that  any  agreement,
  understanding  or  arrangement exists between the taxpayer and any other
  corporation or any person  or  firm,  whereby  the  activity,  business,
  income  or  capital  of  the  taxpayer within the state is improperly or
  inaccurately reflected, the tax commission is authorized and  empowered,
  in  its  discretion  and  in  such manner as it may determine, to adjust
  items of income, deductions and capital,  and  to  eliminate  assets  in
  computing  any  allocation  percentage  provided  only  that  any income
  directly traceable thereto be also  excluded  from  entire  net  income,
  minimum  taxable  income  or pre-nineteen hundred ninety minimum taxable
  income, so as equitably to determine the tax.  Where  (a)  any  taxpayer
  conducts  its  activity  or business under any agreement, arrangement or
  understanding in such manner as either directly or indirectly to benefit
  its members or stockholders, or any of them, or any  person  or  persons
  directly  or  indirectly  interested  in  such  activity or business, by
  entering into any transaction at more or less than a fair  price  which,
  but  for  such  agreement, arrangement or understanding, might have been
  paid or received therefor, or (b) any taxpayer, a substantial portion of

  whose capital stock is owned either directly or  indirectly  by  another
  corporation,  enters into any transaction with such other corporation on
  such terms as to  create  an  improper  loss  or  net  income,  the  tax
  commission  may include in the entire net income, minimum taxable income
  or pre-nineteen hundred ninety minimum taxable income  of  the  taxpayer
  the   fair  profits  which,  but  for  such  agreement,  arrangement  or
  understanding, the taxpayer might have derived from such transaction.
    6. An action may be brought at any time by the attorney-general at the
  instance of the tax commission, in the name of the state, to compel  the
  filing of reports due under this article.
    7. Reports shall be preserved for five years, and thereafter until the
  tax commission orders them to be destroyed.
    8. (a) Except in accordance with proper judicial order or as otherwise
  provided  by  law,  it  shall  be unlawful for any tax commissioner, any
  officer or employee of the department of taxation and  finance,  or  any
  person  who,  pursuant  to  this  section,  is  permitted to inspect any
  report, or to whom any information contained in any report is furnished,
  or any person engaged or retained by such department on  an  independent
  contract basis, or any person who in any manner may acquire knowledge of
  the  contents  of a report filed pursuant to this article, to divulge or
  make known in any manner the amount of income  or  any  particulars  set
  forth  or  disclosed  in  any  report  under  this article. The officers
  charged with the custody of  such  reports  shall  not  be  required  to
  produce  any  of  them  or evidence of anything contained in them in any
  action or proceeding in any court, except on behalf of the state or  the
  commissioner  in  an  action  or proceeding under the provisions of this
  chapter or in any other action or proceeding involving the collection of
  a tax due under this chapter to which the state or the commissioner is a
  party or a claimant, or  on  behalf  of  any  party  to  any  action  or
  proceeding  under  the  provisions  of  this article when the reports or
  facts shown thereby are directly involved in such action or  proceeding,
  in  any of which events the court may require the production of, and may
  admit in evidence, so much of said reports or of the facts shown thereby
  as are  pertinent  to  the  action  or  proceeding,  and  no  more.  The
  commissioner  may,  nevertheless,  publish  a  copy  or a summary of any
  determination or decision rendered after the formal hearing provided for
  in section one thousand eighty-nine  of  this  chapter.  Nothing  herein
  shall be construed to prohibit the delivery to a corporation or its duly
  authorized  representative  of  a copy of any report filed by it, nor to
  prohibit the publication of statistics so classified as to  prevent  the
  identification  of  particular  reports  and  the  items thereof; or the
  publication of delinquent lists showing the names of taxpayers who  have
  failed  to  pay  their  taxes  at the time and in the manner provided by
  section two hundred thirteen of this chapter together with any  relevant
  information  which  in the opinion of the commissioner may assist in the
  collection of such delinquent taxes; or the inspection by  the  attorney
  general or other legal representatives of the state of the report of any
  corporation  which  shall  bring  action  to set aside or review the tax
  based thereon, or against which  an  action  or  proceeding  under  this
  chapter has been recommended by the commissioner of taxation and finance
  or the attorney general or has been instituted; or the inspection of the
  reports of any corporation by the comptroller or duly designated officer
  or  employee  of the state department of audit and control, for purposes
  of the audit of a refund of any tax paid by such corporation under  this
  article;  and nothing in this chapter shall be construed to prohibit the
  publication of the issuer's allocation percentage of any corporation, as
  such term "issuer's allocation percentage" is  defined  in  subparagraph

  one  of paragraph (b) of subdivision three of section two hundred ten of
  this article.
    (b)  (i)  Any  officer or employee of the state who willfully violates
  the provisions of paragraph (a) of this subdivision shall  be  dismissed
  from  office and be incapable of holding any public office in this state
  for a period of five years thereafter.
    (ii) Cross-reference: For criminal penalties, see article thirty-seven
  of this chapter.
    (c) Notwithstanding  any  provisions  of  this  subdivision,  the  tax
  commission may permit the secretary of the treasury of the United States
  or  his delegates, or the proper officer of any other state charged with
  tax administration, or the  authorized  representative  of  either  such
  officer, to inspect the reports filed under this article, or may furnish
  to such officer or his authorized representative an abstract of any such
  report  or  supply  information concerning an item contained in any such
  report, or disclosed by an investigation of  tax  liability  under  this
  article,  but  such  permission  shall  be  granted  or such information
  furnished to such officer or his representative only if the laws of  the
  United  States  or  of  such  other  state,  as  the  case may be, grant
  substantially similar privileges to the commission or  officer  of  this
  state charged with the administration of the tax imposed by this article
  and  such  information is to be used for tax purposes only; and provided
  further the commissioner of taxation and  finance  may  furnish  to  the
  secretary  of  the  treasury  of the United States or his delegates such
  reports filed under this article and other tax information,  as  he  may
  consider  proper,  for  use  in  court  actions or proceedings under the
  internal revenue code,  whether  civil  or  criminal,  where  a  written
  request  therefor  has  been  made  to  the commissioner of taxation and
  finance by the secretary of the treasury or his delegates  provided  the
  laws  of  the  United  States  grant substantially similar powers to the
  secretary of the treasury or his delegates. Where  the  commissioner  of
  taxation  and  finance  has  so  authorized  use of reports or other tax
  information in such actions or proceedings, officers  and  employees  of
  the  department  of  taxation and finance may testify in such actions or
  proceedings in respect to such reports or  other  tax  information;  and
  provided  further that such commission may furnish any municipality with
  such information contained in the reports filed under this article as it
  may  consider  proper  for  use  in  any  certiorari   or   condemnation
  proceeding.
    9.  Notwithstanding  the  provisions  of  subdivision  eight  of  this
  section, the tax commission may permit  the  officer  charged  with  the
  administration  of an income tax imposed by any city of the state of New
  York, or the authorized representative of such officer, to  inspect  the
  reports  filed under this article, or may furnish to such officer or his
  authorized representative an abstract  of  any  such  report  or  supply
  information  concerning  an  item  contained  in  any  such  report,  or
  disclosed by any investigation of tax liability under this article,  but
  such  permission  shall be granted or such information furnished to such
  officer or his representative only if the local laws of such city  grant
  substantially  similar  privileges  to the commission or officer of this
  state charged with the administration of the tax imposed by this article
  and such information is to be used for tax purposes only;  and  provided
  further  the  commissioner  of  taxation and finance may furnish to such
  city officer or his delegates and the legal representative of such  city
  such  reports  filed under this article and other tax information, as he
  may consider proper, for use in court actions or proceedings under  such
  local  law,  whether civil or criminal, where a written request therefor
  has been made to the commissioner of taxation and finance by  such  city

  officer  or  his delegates or by such legal representative of such city,
  provided the local law of such city grants substantially similar  powers
  to  the  city officer charged with the administration of the city income
  tax or his delegates. Where the commissioner of taxation and finance has
  so authorized use of reports or other tax information in such actions or
  proceedings,  officers  and  employees of the department of taxation and
  finance may testify in such actions or proceedings in  respect  to  such
  reports or other tax information.
    10.  Notwithstanding  the  provisions  of  subdivision  eight  of this
  section, the tax commission, in its discretion, may  require  or  permit
  any  or  all persons liable for any tax imposed by this article, to make
  payments on account of estimated tax and payment of any tax, penalty  or
  interest  imposed  by  this  article  to  banks, banking houses or trust
  companies designated by the tax commission and to file  declarations  of
  estimated  tax,  applications  for  automatic extensions of time to file
  reports, and reports with such banks, banking houses or trust  companies
  as  agents  of  the  tax  commission, in lieu of making any such payment
  directly to the  tax  commission.  However,  the  tax  commission  shall
  designate  only  such banks, banking houses or trust companies as are or
  shall be designated by  the  comptroller  as  depositories  pursuant  to
  section two hundred eighteen.
    11.  Notwithstanding  the  provisions  of  subdivision  eight  of this
  section, the commissioner may disclose to the head of any state  agency,
  pursuant  to section one hundred seventy-one-f of this chapter, the name
  and taxpayer identification number of any taxpayer whose overpayment  is
  certified  to  the comptroller to be credited against a past-due legally
  enforceable debt owed to such agency and the amount of  the  overpayment
  and interest thereon certified to the comptroller to be credited against
  a  past-due  legally enforceable debt, and the commissioner may disclose
  to the commissioner of finance of the city  of  New  York,  pursuant  to
  section one hundred seventy-one-l of this chapter, the name and taxpayer
  identification  number of any taxpayer whose overpayment is certified to
  the comptroller to be credited against a city of New  York  tax  warrant
  judgment  debt  and  the  amount of the overpayment and interest thereon
  certified to the comptroller to be credited against a city of  New  York
  tax warrant judgment debt.
    12.  (a)  Notwithstanding  the provisions of subdivision eight of this
  section, the commissioner  and  the  comptroller  shall  enter  into  an
  agreement  pursuant  to  which  the  commissioner  shall,  upon request,
  provide  the  comptroller  with  a  report,  not  more  frequently  than
  annually,  with  respect  to  corporations  or other entities which have
  filed a business corporation franchise tax report under this article for
  any taxable year within ten calendar years prior to the  report  to  the
  comptroller  made  pursuant to this subdivision, providing the following
  information, to the extent that such information  is  readily  available
  from the department's system for identifying taxpayer indicative data:
    (1) business name and legal name, if different;
    (2) business address and mailing address;
    (3) federal employer identification number;
    (4) date entered into business.
    (b)  Each  report to the comptroller made pursuant to this subdivision
  shall list each corporation or other entity with respect to  which  such
  report is made according to the total assets reported for the end of the
  year  on  its  most  recent available business corporation franchise tax
  report, in descending order. Such reports to the comptroller  shall  not
  disclose  the  actual  amount  of total assets reported on such business
  corporation franchise tax reports.

    (c) The information provided  to  the  comptroller  pursuant  to  this
  subdivision shall be used only for administration and enforcement of the
  abandoned  property  law. The comptroller may redisclose the information
  provided under  this  subdivision  only  to  the  extent  necessary  for
  enforcement or administration of the abandoned property law.
    (d)  The  reports  to  the comptroller required under this subdivision
  shall be submitted by electronic means or in some other format which  is
  mutually acceptable to the comptroller and the commissioner. The written
  agreement  with  the  comptroller  shall  set  forth  the procedures for
  providing the  information  the  commissioner  is  allowed  to  disclose
  pursuant to this subdivision.
    (e)  Notwithstanding  article  six  of  the public officers law or any
  other provision of law, the reports to be furnished to  the  comptroller
  pursuant  to  this  subdivision  shall  not  be  open  to the public for
  inspection.
    13. Notwithstanding  the  provisions  of  subdivision  eight  of  this
  section,  in  the case where a taxpayer which is an attorney-in-fact has
  claimed a deduction pursuant to subparagraph fifteen of paragraph (a) of
  subdivision nine of section two  hundred  eight  of  this  article,  the
  commissioner  shall have the authority to release to the interinsurer or
  reciprocal insurer any information with respect to the entire net income
  or business allocation  percentage  of  such  attorney-in-fact,  or  any
  member of a combined group that includes such attorney-in-fact, which is
  the basis for the denial in whole or in part of the deduction claimed by
  such attorney-in-fact.
    14.  Notwithstanding  the  provisions  of  subdivision  eight  of this
  section, the commissioner may disclose to a  taxpayer  or  a  taxpayer's
  related  member,  as  defined  in  paragraph  (o) of subdivision nine of
  section two hundred eight of this article, information relating  to  any
  royalty  payments paid, incurred or received by such taxpayer or related
  member to or from the other, including the treatment of such payments by
  the taxpayer or the related member in any report or  return  transmitted
  to the commissioner under this chapter.