Sec. 18-5.1. Computation of the alternative minimum tax measured by taxable assets

Tax Law, § 1455(b)(1)

(a) The alternative minimum tax measured by taxable assets is the measure of the tax if it is the largest of the alternative minimum bases and the alternative minimum tax is greater than the basic tax. The alternative minimum tax measured by taxable assets is computed at the rate of 0.1 of a mill upon each dollar of taxable assets, or portion thereof allocated to New York State, except in the case of a taxpayer described in subdivision (b), (c) or (d) of this section.

(b) In the case of a taxpayer whose net worth ratio (as defined in section 18-5.3 of this Subpart) is four percent or more but less than five percent and whose total assets are comprised of 33 percent or more of mortgages (as defined in section 18-5.4 of this Subpart), the alternative minimum tax measured by taxable assets is computed at the rate of 0.04 of a mill upon each dollar of taxable assets, or portion thereof allocated to New York State.

(c) In the case of a taxpayer whose net worth ratio (as defined in section 18-5.3 of this Subpart) is less than four percent and whose total assets are comprised of 33 percent or more of mortgages (as defined in section 18-5.4 of this Subpart), the alternative minimum tax measured by taxable assets is computed at the rate of 0.02 of a mill upon each dollar of taxable assets, or portion thereof allocated to New York State.

(d) A taxpayer is not subject to the alternative minimum tax measured by taxable assets for that portion of the taxable year in which it had an outstanding net worth certificate issued to the Federal Savings and Loan Insurance Corporation in accordance with section 406(f)(5) of the Federal National Housing Act, as amended (12 USC 1729[f] [5]), or issued to the Federal Deposit Insurance Corporation in accordance with section 13(i) of the Federal Deposit Insurance Act, as amended (12 USC 1823[i]). A taxpayer will qualify for this exemption whether or not it is a qualified institution as defined in section 406(f)(5)(B) of the Federal National Housing Act, as amended (12 USC 1729[f][5][B]), or as defined in section 13(i)(2) of the Federal Deposit Insurance Act, as amended (12 USC 1823[i][2]).