§ 8. Payments on account of estimated tax. 1. Every taxpayer subject
to the tax imposed by section three of this part shall pay with the
report required to be filed for the preceding privilege period, if any,
or with an application for extension of the time for filing such report,
an amount equal to twenty-five per centum of the preceding year's tax,
computed without regard to the credits provided for in section four-b,
four-c, four-d, four-e, four-f, four-g and four-h of this part if such
preceding year's tax exceeded one thousand dollars.

2. The estimated tax with respect to which a declaration for such
privilege period is required shall be paid, in the case of a taxpayer
which reports on the basis of a calendar year, as follows:

(a) If the declaration is filed on or before June fifteenth, the
estimated tax shown thereon, after applying thereto the amount, if any,
paid during the same privilege period pursuant to subdivision one, shall
be paid in three equal installments. One of such installments shall be
paid at the time of the filing of the declaration, one shall be paid on
the following October fifteenth, and one on the following January
fifteenth.

(b) If the declaration is filed after June fifteenth and not after
October fifteenth of such privilege period, and is not required to be
filed on or before June fifteenth of such period, the estimated tax
shown on such declaration, after applying thereto the amount, if any,
paid during the same privilege period pursuant to subdivision one, shall
be paid in two equal installments. One of such installments shall be
paid at the time of the filing of the declaration and one shall be paid
on the following January fifteenth.

(c) If the declaration is filed after October fifteenth of such
privilege period, and is not required to be filed on or before October
fifteenth of such privilege period, the estimated tax shown on such
declaration, after applying thereto the amount, if any, paid in respect
of such privilege period pursuant to subdivision one, shall be paid in
full at the time of the filing of the declaration.

(d) If the declaration is filed after the time prescribed therefor, or
after the expiration of any extension of time therefor, paragraphs (b)
and (c) of this subdivision shall not apply, and there shall be paid at
the time of such filing all installments of estimated tax payable at or
before such time, and the remaining installments shall be paid at the
times at which, and in the amounts in which, they would have been
payable if the declaration had been filed when due.

3. If any amendment of a declaration is filed, the remaining
installments, if any, shall be ratably increased or decreased (as the
case may be) to reflect any increase or decrease in the estimated tax by
reason of such amendment, and if any amendment is made after October
fifteenth of the privilege period, any increase in the estimated tax by
reason thereof shall be paid at the time of making such amendment.

4. Any amount paid pursuant to subdivision one or the first sentence
of subdivision three shall be applied after payment as a first
installment against the estimated tax of the taxpayer for the current
privilege period shown on the declaration required to be filed pursuant
to section seven of this part or, if no declaration of estimated tax is
required to be filed by the taxpayer pursuant to such section, any such
amount shall be considered a payment on account of the tax shown on the
report required to be filed by the taxpayer for such privilege period.

5. Notwithstanding the provisions of section seventy-nine of this
title or of section three-a of the general municipal law, if an amount
paid pursuant to subdivision one exceeds the tax shown on the report
required to be filed by the taxpayer for the privilege period during
which the amount was paid, interest shall be allowed and paid on the
amount by which the amount so paid pursuant to such subdivision exceeds
such tax, at the rate set by the commissioner of finance pursuant to
section eighty-seven of part six, or, if no rate is set, at the rate of
four per centum per annum from the date of payment of the amount so paid
pursuant to such subdivision to the fifteenth day of the third month
following the close of the privilege period, provided, however, that no
interest shall be allowed or paid under this subdivision if the amount
thereof is less than one dollar or if such interest becomes payable
solely because of a carryback of a net operating loss in a subsequent
privilege period.

6. As used in this section, "the preceding year's tax" means the tax
imposed upon the taxpayer by section three of this part for the
preceding calendar or fiscal year, or, for purposes of computing the
first installment of estimated tax when an application has been filed
for extension of the time for filing the report required to be filed for
such preceding calendar or fiscal year, the amount properly estimated
pursuant to section seven of this part as the tax imposed upon the
taxpayer for such calendar or fiscal year.

7. This section shall apply to a privilege period of less than twelve
months in accordance with regulations of the director of finance.

8. The provisions of this section shall apply to privilege periods of
twelve months other than a calendar year by the substitution of the
months of such fiscal year for the corresponding months specified in
such provisions.

9. The commissioner of finance may grant a reasonable extension of
time, not to exceed six months, for payment of any installment of
estimated tax required pursuant to this section, on such terms and
conditions as it may require, including the furnishing of a bond or
other security by the taxpayer in an amount not exceeding twice the
amount for which any extension of time for payment is granted, provided,
however that interest at the rate set by the commissioner of finance
pursuant to section eighty-seven of part six, or, if no rate is set, at
the rate of six per centum per annum for the period of the extension
shall be charged and collected on the amount for which any extension of
time for payment is granted under this subdivision.

10. A taxpayer may elect to pay any installment of estimated tax prior
to the date prescribed in this section for payment thereof.

11. The portion of an overpayment attributable to a credit allowable
pursuant to section four-a of this part may not be credited against any
payment due under this section.