CT-222: Underpayment of Estimated Tax by a Corporation (2024)
New York · NY DTF · Used for tax years 2024
New York Form CT-222 calculates a corporation’s underpayment of estimated tax and any resulting penalty for 2024. It covers corporation franchise, excise, or gross receipts tax, or the MTA surcharge, with separate forms used if both apply.
Who files this form
You must file Form CT-222 if any of these reasons in Part 2 apply, even if you do not owe a penalty:
- You use the adjusted seasonal installment method.
- You use the annualized income installment method.
- You are not a large corporation and base estimated tax on the prior year’s tax. The prior year cannot be a short year, and that return must have shown a tax liability.
- You are not a large corporation and use the line 9 exception, which applies the preceding year’s return facts and law to the tax base on which the current year’s tax was paid, using current-year rates. Complete Schedule B for this exception.
What you'll need
Have the following information ready:
- The corporation’s legal name, employer identification number, tax period beginning and ending dates, and tax return filed.
- Your 2024 corporation franchise, excise, or gross receipts tax after credits, or your 2024 MTA surcharge.
- Your 2023 tax after credits or MTA surcharge, if applicable to your calculation.
- Estimated tax amounts paid or credited for each period, plus payment dates.
If you use Schedule A, you will also need income, tax, and credit information for the periods it covers. The adjusted seasonal method uses business income information for 2021, 2022, and 2023, along with 2024 information.
If you use Schedule B, have the applicable 2023 tax bases and credits, 2024 tax rates, and any other taxes needed for that calculation.
Common mistakes
- Do not combine corporation tax and the MTA surcharge on one CT-222. Use separate forms if calculating both.
- Do not skip the tax period. All filers must enter beginning and ending dates.
- Do not omit CT-222 just because no penalty is due if you mark any box in Part 2.
- Read Form CT-222-I before completing the form, as directed on CT-222.
- For Part 3, lines 11 through 19, and Schedule A, Part 3, complete one column before moving to the next.
- Large corporations must enter the line 2 amount on line 5 and skip lines 3 and 4.
Questions people ask
What percentage of 2024 tax is used on line 2?
Multiply line 1 by 91%, or by 100% if you are a large corporation.
When can I use the adjusted seasonal installment method?
Use this method only if the base period percentage for any six consecutive months is at least 70%. Calculate that percentage on Schedule A, lines 46 through 51.
Where do I report the total underpayment penalty?
Add line 41, columns A through D. Enter the total on line 42 and on your franchise tax return or MTA surcharge return.
Where can I find the applicable penalty rates?
The form directs you to the Department of Taxation and Finance website or the Corporation Tax Information Center. See the “Need help?” section in Form CT-1.