Sec. 19-4.1. General rules for allocation of taxable assets

Tax Law, § 1454

(a) When a taxpayer's taxable assets, as defined in section 18-5.2 of this Title, are derived from business carried on both within and without New York State, the portion thereof which is derived from business carried on within New York State is determined by multiplying taxable assets by the asset allocation percentage. The asset allocation percentage is determined by a formula consisting of a payroll factor, a receipts factor, a deposits factor, an additional factor equal to the receipts factor, and an additional factor equal to the deposits factor.

(b) If allocation by the asset allocation percentage does not properly reflect the activity, business or assets of the taxpayer in New York State, the Tax Commission, in its discretion, may permit or require the allocation of taxable assets within and without New York State by a different method. A taxpayer may not use a method other than the asset allocation percentage for allocating its taxable assets within and without New York State without the written consent of the Tax Commission. (See section 19-8.4 of this Part - Power of the Tax Commission to adjust or change the method of allocation.)