CT-222: Underpayment of Estimated Tax by a Corporation (2025)
New York · NY DTF · Used for tax years 2025
New York Form CT-222 calculates a corporation’s underpayment of estimated tax and any resulting penalty for 2025. It covers corporation franchise, excise, or gross receipts tax, or the MTA surcharge, with separate forms used for the tax and surcharge.
Who files this form
Form CT-222 calculates a corporation’s underpayment of estimated tax and the related penalty.
The form says you must file it, even if you do not owe a penalty, if any of these apply:
- You use the adjusted seasonal installment method.
- You use the annualized income installment method.
- You are not a large corporation and base your estimated tax on the prior year’s tax. That year cannot be a short year, and the return must have shown a tax liability.
- You are not a large corporation and use the line 9 exception, which applies preceding-year 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 information needed for the lines and schedules you complete:
- The corporation’s legal name, employer identification number, tax-period beginning and ending dates, and tax return filed.
- Your 2025 corporation franchise, excise, or gross receipts tax after credits, or your 2025 MTA surcharge.
- Your 2024 tax after credits or MTA surcharge, if using the prior-year calculation.
- Records of estimated tax payments and credits for each installment period, including payment dates.
- Income, tax-base, other-tax, and credit information for any Schedule A calculation you use. The seasonal method includes business income information for 2022, 2023, and 2024.
- If using Schedule B, the applicable 2024 tax bases and credits and 2025 tax rates.
The form also directs you to read Form CT-222-I before completing it.
Common mistakes
- Combining tax and MTA surcharge calculations. Use separate forms if calculating both.
- Leaving out the tax period. All filers must enter beginning and ending dates.
- Skipping the form because no penalty is owed. If any box in Part 2 is marked, you must file CT-222 even without a penalty.
- Using the wrong annual-payment steps for a large corporation. Large corporations use 100% on line 2, enter that amount on line 5, and skip lines 3 and 4.
- Working across columns too soon. For Part 3, lines 11 through 19, and Schedule A, Part 3, complete one column before moving to the next.
- Using the seasonal method without meeting its condition. Use it only if the base period percentage for any six consecutive months is at least 70%, calculated on lines 46 through 51.
Questions people ask
Can I calculate both corporation tax and the MTA surcharge on one CT-222?
No. The form directs you to use separate forms for the two calculations.
What percentage of 2025 tax is used on line 2?
Multiply line 1 by 91%, or by 100% if you are a large corporation. Large corporations enter that result on line 5 and skip lines 3 and 4.
Where do I find the rates used to calculate the penalty?
The form says to access the Department of Taxation and Finance website or call the Corporation Tax Information Center. It refers you to the “Need help?” section in Form CT-1.
Where does the total penalty go?
Add line 41, columns A through D, and enter the total on line 42. Also enter it on your franchise tax return or MTA surcharge return.