Electronic filing mandate

New York mandates electronic filing for tax return preparers who were subject to the mandate in a previous period, or prepared at least one authorized tax document for more than 10 different taxpayers during the calendar year, including tax documents for prior periods, and uses a tax software to prepare one or more of these tax documents. Tax documents that can’t be e-filed are not included in the count to determine if the 10 taxpayer threshold has been met.

New York mandates electronic filing for corporations that prepare tax documents themselves, without the assistance of a tax professional; uses approved e-file tax software to prepare their return, or use a computer to prepare, document, or calculate an extension or estimated tax payment; and has broadband internet access.

You can electronically file tax documents through a software that supports electronic filing or online via the New York State Online Services for Businesses. 

Opt-out

A taxpayer can no longer opt-out of electronic filing. If you have reasonable cause to not electronically file, you must maintain adequate documentation. You will need to provide that documentation to New York if your client receives a penalty bill for failing to electronically file the return or extension.

If you don’t file and pay electronically when required to do so, the department will impose penalties on both you and your clients.

A $50 per tax document or payment penalty applies to all other taxpayers.

• A paper document is subject to the penalty imposed for that tax type for failure to file a return or report.
• Any overpayment claimed on a paper tax document that was required to be electronically filed will not be eligible to receive interest until the document is filed electronically.

Returns supported for electronic filing

You can electronically file the following return types:

• C Corporation
• S Corporation
• Consolidated / combined
• Amended
• Short year
• Estimates (filed separate from return)
• Extension
• Superseding
• Foreign corporation (CT-245/240)

For a comprehensive list of forms and schedules that are included in the electronic file, see Forms included in the electronic file.

Returns not supported for electronic filing

You cannot electronically file the following return types:

• Withholding
• Composite

Signature requirements for electronic filing

You must complete and sign Form TR-579-CT before you electronically file the return. Enter the signature date on Screen NYELF, or leave blank if it matches the federal date you enter on federal Screen ELF. Do not mail Form TR-579-CT. The preparer retains the original form for three years and must be available if New York requests it.

Resubmitting returns

If you need to make a change to a return that you have already electronically filed, and New York has already accepted it, you must amend and electronically file the return. 

If New York rejects the return, you may make the changes, correct the rejection and resubmit. If you can re-transmit the return electronically, you must file and have New York accept it by the return due date or seven calendar days after you initially received the rejected acknowledgement, whichever is later.

Attachments

If the federal return is not supported for electronic filing by the IRS, you can still file the New York return electronically. UltraTax CS will attach the federal return as a PDF. See 1120-US: Forms that are not eligible for electronic filing for a detailed list of when this situation would apply.

New York allows PDF attachments in the electronic file and do not have specific naming conventions for the files you attach. If Forms CT-324, DTF-625, and/or DTF-686-ATT are calculating, you must manually attach them to the electronic filing. The following automatically generates as a PDF and attaches to the electronic file.

• CT-225-A/B
• CT-399
• CT-600
• CT-51
• CT-40
• CT-41
• CT-236
• CT-239
• CT-242
• CT-243
• CT-250
• CT-259
• DTF-622
• DTF-624
• DTF-630
• DTF-631
• Required statements
• General footnote
• Elections

Payment methods

New York allows electronic funds withdrawal (direct debit), electronic funds transfer (eft), money order or check for balance due returns and extensions. Partial payments are allowed.  

Bank information and a requested payment date are required when you are requesting EFW. New York will use the bank information you enter on federal Screen Bank. If you have different bank information for New York, use Screen NYBank in the General folder. If you are e-filing after the due date, the requested payment date must match the date you e-file the return.