Bill > A05377

This bill amends the New York State tax law to increase the franchise tax rate for businesses with a business income base over five million dollars. Specifically, for taxable years beginning on or after January 1, 2025, businesses with a business income base exceeding $5 million will be required to pay a franchise tax of 9% of their business income base, which is defined as the portion of the business's income apportioned within the state. This represents an increase from the previous tax rate of 7.25% for such businesses. The bill maintains existing provisions for small businesses, manufacturers, and qualified emerging technology companies, which may have different tax rates. The change aims to adjust the tax burden for larger businesses by increasing their franchise tax rate, with the new rate taking effect for the 2025 tax year and subsequent years.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/A5377