CT-247: Application for Exemption from Corporation Franchise Taxes By a Not-for-Profit Organization (Revision 2020-12)
New York · NY DTF · Used for tax years 2024
Form CT-247 is an application for exemption from New York State corporation franchise taxes by a not-for-profit organization. It collects information about the organization’s structure, federal tax exemption, earnings, and activities in New York State. Any exemption granted appli
Who files this form
Certain not-for-profit and religious corporations must file Form CT-247 to apply for exemption from New York State corporation franchise tax under Tax Law Article 9-A.
Generally, a corporation or organization treated as a corporation must meet all of these requirements:
- Be organized and operated as a not-for-profit organization.
- Have no stock, shares, or certificates for stock or shares. Exceptions apply to title holding companies described in IRC section 501(c)(2) and collective investment entities described in IRC section 501(c)(25).
- Have no net earnings that benefit any officer, director, or member.
- Be exempt from federal income tax under IRC section 501(a).
If the IRS revoked and later restored the organization's exempt status, the organization must file a new CT-247. New York must approve that application before its Article 9-A exemption is restored.
What you'll need
Submit these documents with Form CT-247:
- All IRS documents granting or denying tax exemption, including your federal exemption letter.
- The corporation's articles of incorporation.
- The corporation's bylaws.
Have the organization's EIN, formation details, federal return type, and the date from which exemption is claimed available to complete the form.
You must also list business locations and activities, New York officers and other representatives and their duties, and the type and use of real property owned in New York. Attach separate sheets if needed.
A housing development fund company must submit proof that it was organized under Private Housing Finance Law Article 11.
How to file
Complete the organization's identifying information, answer the questions, and attach the required documents. Have an authorized person sign and certify the application.
Fax: 518-435-2995. The form labels fax as the preferred response method.
Or mail to:
NYS Tax Department
Corporation Tax Account Resolution
W A Harriman Campus
Albany NY 12227-0852
For private delivery services, see Publication 55, Designated Private Delivery Services.
An authorized corporate officer must certify the application. For an association, publicly traded partnership, or business conducted by trustees, a person authorized to act for that organization must sign. If an outside individual or firm prepared the application, complete all applicable paid preparer entries, including identification numbers.
Common mistakes
- Continuing after answering “No” on line 4. The form says to stop because the organization does not qualify as exempt.
- Leaving the application unsigned. Failure to sign will delay processing of any refunds and may result in penalties.
- Not reporting a federal tax status change. Promptly report any changes to the New York State Tax Department.
- Assuming IRS restoration automatically restores New York exemption. A new CT-247 must be filed and approved before Article 9-A exemption is restored.
- Treating CT-247 as a federal exemption application. Any exemption granted through this form is strictly for New York State corporation franchise tax. Contact the IRS for federal exemption.
- Submitting false information. The certification warns that willfully filing a false application is a misdemeanor punishable under the Tax Law.
Questions people ask
Does CT-247 grant federal tax exemption?
No. Any exemption granted through CT-247 is strictly for New York State corporation franchise tax. Contact the IRS for federal exemption.
What if our organization has unrelated business income?
Not-for-profit, nonstock organizations subject to federal tax on unrelated business income are taxable under New York Tax Law Article 13 if they pursue those unrelated business activities in New York. File Form CT-13 to report those activities.
What if we file federal Form 1120?
Organizations required to file federal Form 1120 may be taxable under Article 9-A and may need to file Form CT-3.
How do we recover franchise taxes paid in error?
Request a refund by filing an amended return.
How can we ask about our organization's taxable status?
Send a written inquiry signed by an officer of the organization to the mailing address listed under How to file.