Charter Must Pay $7.8 Million in New York State Franchise Taxes

Charter Communications Inc. has failed to convince the New York Division of Tax Appeals that it and its affiliates are a “qualified emerging technology company” entitled to a lower corporation franchise tax rate.

The ruling leaves the cable and internet provider on the hook for an additional $5,991,774 in tax and interest of $1,859,310 for tax years 2012 to 2014.

Administrative Law Judge Nicholas A. Behuniak rejected Charter’s argument that it should qualify for the lower tax rate as long as the combined affiliates’ attributes, taken together, meet the criteria of a “qualified emerging technology ...