N.Y. Yonkers income tax surcharge § 15-119: Accounting periods and methods

§ 15-119. Accounting periods and methods.

A. Accounting periods. A taxpayer's taxable year under this article

shall be the same as his/her taxable year from federal income tax

purposes.

B. Change of accounting periods. If a taxpayer's taxable year is

changed for federal income tax purposes, his/her taxable year for

purposes of this article shall be similarly changed. If a taxable period

of less than twelve (12) months results from a change of taxable year,

the exclusion allowable under § 15-116 of this article shall be prorated

under regulations of the State Tax Commission.

C. Accounting methods. A taxpayer's method of accounting under this

article shall be the same as his/her method of accounting for federal

income tax purposes. In the absence of any method of accounting for

federal income tax purposes, net earnings from self-employment within

the City of Yonkers shall be computed under such method as in the

opinion of the State Tax Commission clearly reflects net earnings from

self-employment within the City of Yonkers.

D. Change of accounting methods.

(1) If a taxpayer's method of accounting is changed for federal income

tax purposes, his/her method of accounting for purposes of this article

shall be similarly changed.

(2) If a taxpayer's method of accounting is changed, other than from

an accrual to an installment method, any additional tax which results

from adjustments determined to be necessary solely by reason of the

change shall not be greater than if such adjustments were ratably

allocated and included for the taxable year of the change and the

preceding taxable years beginning after 1983, not in excess of two (2),

during which the taxpayer used the method of accounting from which the

change is made.

(3) If a taxpayer's method of accounting is changed from an accrual to

an installment method, any additional tax for the year of such change of

method and for any subsequent year, which is attributable to the receipt

of installment payments properly accrued in a prior year, shall be

reduced by the portion of tax for any prior taxable year attributable to

the accrual of such installment payments, in accordance with regulations

of the State Tax Commission.