Bloomberg Tax
Free Newsletter Sign Up
Login
BROWSE
Bloomberg Tax
Welcome
Login
Advanced Search Go
Free Newsletter Sign Up

New York Regulations Go After Gains by Out-of-State Investors

Aug. 5, 2022, 6:21 PM

New York is proposing to tax gains achieved by out-of-state businesses from the sale of minority interests in in-state investment partnerships even in situations where the parties aren’t engaged in a unitary business relationship.

The New York State Department of Taxation and Finance issued draft regulations Thursday expanding the reach of the state’s business tax code and formalizing features of the corporation franchise tax reform, which became effective on Jan. 1, 2015.

At face value, the draft regulations revise New York’s definition of “investment capital” and add a new example describing the tax treatment of gains ...