CT-6.1: Termination of Election to be Treated As a New York S Corporation (Revision 2019-12)
New York · NY DTF · Used for tax years 2024, 2025
Form CT-6.1 terminates a corporation’s election to be treated as a New York S corporation. It reports the end of the corporation’s New York S corporation taxation and the shareholders’ election to include their shares of its income, losses, and deductions.
Who files this form
A corporation that elected New York S corporation treatment on Form CT-6 must file Form CT-6.1 to terminate that election.
The form covers three reasons for termination:
- The federal S election has ended.
- Shareholders owning more than 50% of the corporation’s shares revoke the New York S election.
- A new shareholder refuses to consent to New York S corporation treatment.
When it's due
For tax years 2024 and 2025, the printed timing rules for a shareholder revocation are:
- If Form CT-6.1 is filed on or before the fifteenth day of the third month of the tax year, revocation is effective on the first day of that tax year.
- If filed after the fifteenth day of the third month of the tax year, revocation is effective on the first day of the following tax year.
- If the form specifies an effective date on or after the date it is filed, revocation is effective on that specified date.
What you'll need
Have the following information ready:
- The corporation’s employer identification number, legal name, DBA or trade name if any, mailing address, and business telephone number.
- The effective date and reason for termination.
- For each shareholder required to complete the affirmation: name, address, Social Security number or employer identification number, shares owned or ownership percentage, date acquired, and signature.
- The authorized signer’s printed name, signature, title, email address, telephone number, and signing date.
Use the legal name exactly as it appears in New York State Department of State records. Use the DBA or trade name shown on the Certificate of Assumed Name filed with that department.
If you need a continuation sheet or use a separate consent statement, attach it to Form CT-6.1. A separate consent statement must include the corporation’s name, address, and employer identification number, plus the shareholder information requested in columns A through D.
If an outside person or firm prepares the form, all applicable paid preparer entries must be completed, including identification numbers.
How to file
- Enter the corporation’s information and effective termination date, then mark the appropriate reason box.
- If you mark box 2, all revoking shareholders must complete the shareholder affirmation. If you mark box 3, only the new shareholder must complete it.
- Have the form certified and signed by an authorized officer or other person authorized under the form’s signature instructions.
- Fax Form CT-6.1 to 518-435-8605.
If you cannot send a fax, mail the form to:
NYS TAX DEPARTMENT
CT-6 PROCESSING
W A HARRIMAN CAMPUS
ALBANY NY 12227-0852
For private delivery services, see Publication 55, Designated Private Delivery Services.
Common mistakes
- Revoking without enough ownership. For a valid shareholder revocation, the revoking shareholders must own more than 50% of the corporation’s shares on the day the revocation is made.
- Missing shareholder signatures. All revoking shareholders must signify consent by signing.
- Leaving the form unsigned. The form warns that failure to sign will delay processing of any refunds and may result in penalties.
- Treating a midyear termination as a full-year change. If termination is not on the first day of the tax year, the corporation is a New York S corporation through the day before termination and a New York C corporation from the termination day through the end of the tax year.
Questions people ask
When does New York S corporation treatment end if the federal S election ends?
It ends on the day the federal S election ceases.
What happens if a new shareholder refuses to consent?
New York S corporation treatment ends on the day that person becomes a new shareholder. Mark box 3, and have only the new shareholder complete the shareholder affirmation.
What should an entity without stock enter in column C?
An entity without stock, such as an LLC, should enter each member’s ownership percentage and the date acquired.
Do both spouses need to consent when they share an interest in the stock?
If a married couple has a community interest in the stock or its income, both spouses must consent. Each tenant in common, joint tenant, or tenant by the entirety must also consent.