Posts from September 2022.
As we reported here several months ago, this year's New York State budget included a provision for a New York City Pass-Through Entity Tax, effective in 2023, that would allow New York City resident owners of pass-through entities to benefit from a local Pass-Through Entity Tax regime. Shortly after it was passed, many wondered why there was only a prospective effective date. Given that a change like this should be net neutral to the State and City government, why not make it retroactive to January 1, much like the State Pass-Through Entity Tax was made retroactive when it was put in place in 2021?