CCH Axcess Tax

Introduction to the New York Corporate Return

A New York State corporate general business tax return, or insurance return is prepared for calendar, fiscal and short year corporate returns. Using entries from the federal tax return New York input, the following forms are produced for the New York return:

Note: Forms marked with an asterisk (*) are available in the 1120 system only.

A copy of the federal return is provided for filing with the New York State and City returns.

Federal Features

Common State Data

The State Common Data forms provide a centralized location to create state returns and to enter data common to all states and cities. Following is a description of each series of input forms and how they interact with processing a New York return.

State/City Generation Forms

A state or city return may simply be processed by selecting the states or cities you wish to include with your federal return on the State/City Generation worksheet under the Common State category. No additional entries on state/city input forms are required. This provides a centralized location to manage your single or multi-state returns.

If you wish to delete a state or city from your return after you created and processed it using the State/City Generation forms, uncheck the applicable field on these forms and use the Delete State feature in the Edit menu.

General Information Forms

These forms are used to enter data common to all states and cities returns. They provide a centralized location and generic format to simplify entering state and city data. Not all state and city data are contained here. Fields which are unique or not shared by a group of entities is still located on unique state and city input forms.

When using these forms an entry is mandatory in the State/City Code field. Presence of data on this form will NOT create a state or city return. These may only be created in two ways:

You may designate data to apply to a particular state/city return or you can indicate for it to apply to all of the state/city returns present. To flag your entries to a particular state/city, enter the state/city code from the pick list in the State/City Code field. To apply your input to all of the states and cities present make an "ALL" entry in the State/City Code field.

There are 3 levels of default for the General Information input series:

State Tax Payments

Use The State Tax Payments worksheet under the Payment/Penalty category to enter estimated tax payments, withheld amounts, and various other tax payments for NY. Any payment made after the due date of the return will not be used n the computation of the underpayment penalty but will be used in the computation of the late interest penalty. An entry in the State Code field is mandatory. Not all fields apply to all states. Once an entry of NY is made in this field, we will allow you to only land on those fields which are applicable to NY. Presence of data on this form will NOT create a state return.

Taxes Paid Based on Income: If you have identified yourself as a Cash Basis taxpayer, your entries in the columns for Taxes Based on Income to the Taxes and Licenses deduction line on page 1 of the federal return. We identify you as Cash Basis taxpayer if your accounting method is identified as cash on the Miscellaneous Information section of the Basic Data worksheet, and the State Tax Accrual option has NOT been selected on the Processing Option section of the Basic Data worksheet. Your entries here will also be used by NY in arriving at the applicable state tax deductions and/or addable to federal income. Any entries on the Taxes and Licenses section of the Business worksheet will be in addition to your entries in these fields. You may override this treatment of the detailed state and city tax payments for all states in your return by making an entry in the field entitled Suppress Carrying of Detailed State/City Tax Payments for Cash Basis Taxpayers on the Processing Options section of the Return Option worksheet. or by selecting the same option in the Return Configuration Set. You may also suppress this treatment on a state by state basis by making an entry in the field entitled Suppress Carrying of This State's Tax Payments on the State Tax Payments Worksheet

If you are an Accrual Basis taxpayer, your entries in the columns for Taxes Based on Income and/or Not Based On Income will NOT be carried to the Taxes and Licenses deduction line on page 1 of the federal return or used to determine any state addbacks or tax deductions. We identify you as an Accrual Basis taxpayer if your accounting method is identified as accrual on the Miscellaneous Information section of the Basic Data worksheet, or the State Tax Accrual option has been selected on the Processing Option section of the Basic Data worksheet.

State Estimated Tax Forms

Enter the estimated tax information for NY on the Estimates and Application of Overpayment worksheet under the Payment/Penalty category.

Penalty Forms

Use these forms to enter penalty information for NY. We produce detail schedules of the late payment interest and late payment and late filing penalties. (The late filing penalty will only be computed if the late payment penalty is computed.) Any estimated tax payment made after the due date of the return will not be used in the computation of the underpayment penalty but will be used in the computation of the late interest and penalty computation. The late filing penalty will only be computed if the late payment penalty is computed. Late interest and penalty information is entered on the State/City Interest and Penalty worksheet and underpayment of estimated tax data is entered in the State / City Underpayment Penalty worksheet under the Payment/Penalty category

Enter NY in the field entitled State Code. This is a required entry. No assumption to the state code is made by the program. An entry in the State Code field is mandatory. Not all fields apply to all states. We will allow you to only land on those fields which are applicable to your entry in the State Code field. Presence of data on this form will NOT create a state return.

Federal Multiple State Apportionment

Information to compute the Business Allocation percentage (BAP) for General business, aviation and trucking companies (taxable under Article 9-A) may be entered using the federal MST series of forms. The following is a cross reference of lines on the New York Forms to lines on the MST forms. Refer also to the New York State Cross reference.

Business Allocation Processing Defaults

Form CT-3

Unless the air freight forwarder check box in the Allocation Elections and Overrides Section of the New York Allocation Percentage Worksheet is checked, property and wage entries are ignored when computing the New York BAP.

Form CT-3 General Business (Aviation, Railroad or Trucking Company)

There are no processing defaults. Use the Transportation Allocation and Apportionment worksheet to provide revenue arrivals, revenue tons, originating revenue or revenue miles

Form CT-3M

The following defaults for Form CT-3M, Schedule A apply when allocation information is present for New York and/or New York City.

Notes:

Request for Extension

The following extensions may be requested by using the State section of the federal Extension worksheet.

Enter the state code "NY" on the State section of the Extension worksheet to produce Form CT-5 from information computed on the applicable New York tax return. The following fields are available to override the computed amounts for both state and MTA purposes:

To produce Form CT-5.1, enter a "3" in the Special Code field of the State section of the Extension worksheet.

Request for Elections

The following election may be requested by using the Election of a Small Business worksheet:

You may use the FS and State codes to create the New York election.

See Also

FS Codes and Automatic Adjustments


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