The Finance Audit Division has identified several issues that taxpayers frequently ask about. As a result of the many questions received, and in our ongoing efforts to provide clear and transparent guidance to taxpayers, Finance is providing Updates on Audit Issues, and will periodically publish new updates and information as they arise.

Audit Updates 2008

• General Corporation Tax
  The New York City net operating loss deduction is presumably the same as that allowed for Federal tax purposes, subject to three limitations. (June 2008)
• Unincorporated Business Tax 
  A corporation that is a partner in a partnership subject to the New York City Unincorporated Business Tax (UBT) is subject to the New York City General Corporation Tax (GCT). (June 2008)
• Real Property Transfer Tax
  The transfer of an equitable interest in real property is a taxable conveyance for purposes of the Real Property Transfer Tax. (June 2008)
• Personal Income Tax 
  Information regarding the residency rules where individuals have not filed Personal Income Tax returns even though they are New York City residents. (June 2008)
• New York State Sales Tax
  Information on the rules involving capital improvements when determining sales tax obligations. (June 2008)
  
  

Audit Updates 2007

• Federal and State Changes
  Internal Revenue Service and/or New York State Department of Taxation and Finance Reporting Changes. (October 2007)
• Hotel Occupancy Tax
  The Treatment of Hotel Rewards Points Programs under the Hotel Occupancy Tax (October 2007)
• Utility Tax
  Treatment of Internet Access Charges, Bundled Services Charges and Voice Over Internet Protocol Charges (VoIP) for Utility Tax purposes. (October 2007)
• Banking Corporation Tax
  Interest Income on Obligations of New York State, its Political Subdivisions, or United States. (October 2007)

Audit Updates 2006

• Commercial Rent Tax
  Commercial Rent Tax Multiple Leases in One Premises (June 2006)
• General Corporation Tax
  General Corporation Tax Combination (June 2006)
• Banking Corporation Tax
  Bank Tax Audit International Banking Facility and Transactions with Offshore Facilities (Shell) (June 2006)
• Real Property Transfer Tax
  Real Property Transfer Tax Pursuant to Marital Settlement/Divorce Agreement (June 2006)
• Unincorporated Business Tax
  Unincorporated Business Tax Payments to Partner/Proprietor (June 2006)