Legislation

Search OpenLegislation Statutes
This entry was published on 2022-05-13
The selection dates indicate all change milestones for the entire volume, not just the location being viewed. Specifying a milestone date will retrieve the most recent version of the location before that date.
SECTION 1500
General definitions
Tax (TAX) CHAPTER 60, ARTICLE 33
Section 1500. General definitions. The following words, as used in
this article, shall have the meanings hereinafter set forth.

(a) The term "insurance corporation" includes a corporation,
association, joint stock company or association, person, society,
aggregation or partnership, by whatever name known, doing an insurance
business, and, notwithstanding the provisions of section fifteen hundred
twelve of this article, shall include (1) a risk retention group as
defined in subsection (n) of section five thousand nine hundred two of
the insurance law, (2) the state insurance fund and (3) a corporation,
association, joint stock company or association, person, society,
aggregation or partnership doing an insurance business as a member of
the New York insurance exchange described in section six thousand two
hundred one of the insurance law. The definition of the "state insurance
fund" contained in this subdivision shall be limited in its effect to
the provisions of this article and the related provisions of this
chapter and shall have no force and effect other than with respect to
such provisions. The term "insurance corporation" shall also include a
captive insurance company doing a captive insurance business, as defined
in subsections (c) and (b), respectively, of section seven thousand two
of the insurance law; provided, however, "insurance corporation" shall
not include the metropolitan transportation authority, the power
authority of New York or any statutory subsidiary thereof, or a public
benefit corporation or not-for-profit corporation formed by a city with
a population of one million or more pursuant to subsection (a) of
section seven thousand five of the insurance law, each of which is
expressly exempt from the payment of fees, taxes or assessments, whether
state or local; and provided further "insurance corporation" does not
include any combinable captive insurance company. The term "insurance
corporation" shall also include an unauthorized insurer operating from
an office within the state, pursuant to paragraph five of subsection (b)
of section one thousand one hundred one and subsection (i) of section
two thousand one hundred seventeen of the insurance law. The term
"insurance corporation" also includes a health maintenance organization
required to obtain a certificate of authority under article forty-four
of the public health law.

(b) The term "domestic insurance corporation" means an insurance
corporation incorporated or organized under the laws of this state.
Provided, however, the savings banks life insurance fund and savings and
insurance banks which are authorized to transact the business authorized
by the provisions of article six-a of the banking law shall be subject
to taxation as domestic insurance corporations on such insurance
business under this article.

(c) The term "foreign insurance corporation" means an insurance
corporation incorporated or organized under the laws of any other state
of the United States, the District of Columbia or the Commonwealth of
Puerto Rico.

(d) The term "alien insurance corporation" means an insurance
corporation incorporated or organized under the laws of any other
foreign nation, or of any province or territory not included under the
definition of "foreign insurance corporation."

(e) The term "taxpayer" means any insurance corporation subject to the
tax imposed under section fifteen hundred one, fifteen hundred two-a, or
fifteen hundred ten or any captive insurance company subject to the tax
imposed under section fifteen hundred two-b of this article.

(f) The term "taxable year" means the taxpayer's taxable year for
federal income tax purposes, or the part thereof during which the
taxpayer is subject to the tax under this article.

(g) The term "subsidiary" means a corporation of which over fifty
percent of the number of shares of stock entitling the holders thereof
to vote for the election of directors or trustees is owned by the
taxpayer.

(h) The term "subsidiary capital" means investments in the stock of
subsidiaries and any indebtedness from subsidiaries, exclusive of
accounts receivable acquired in the ordinary course of trade or business
for services rendered or for sales of property held primarily for sale
to customers, whether or not evidenced by a written instrument, on which
interest is not claimed and deducted by the subsidiary for purposes of
taxation under any article of this chapter, provided, however, that in
the discretion of the tax commission, there shall be deducted from
subsidiary capital any liabilities payable by their terms on demand
within one year from the date incurred, other than loans or advances
outstanding for more than one year as of any date during the taxable
year covered by the return, which are attributable to subsidiary
capital.

(i) The term "investment capital" means investments in stocks, bonds
and other securities, corporate and governmental, not held for sale to
customers in the regular course of business, exclusive of subsidiary
capital and stock issued by the taxpayer, provided, however, that in the
discretion of the tax commission, there shall be deducted from
investment capital any liabilities payable by their terms on demand or
within one year from the date incurred, other than loans or advances
outstanding for more than a year as of any date during the year covered
by the return, which are attributable to investment capital, provided,
also, there shall be excluded from investment capital, such investments
which are held to maintain reserves of the taxpayer required under
sections one thousand three hundred three, one thousand three hundred
four and one thousand three hundred five of the insurance law.

(j) The term "business capital" means all assets, other than
subsidiary capital, investment capital and stock issued by the taxpayer,
less liabilities not deducted from subsidiary or investment capital
which are payable by their terms on demand or within one year from the
date incurred, other than loans or advances outstanding for more than a
year as of any date during the year covered by the return, except that
cash on hand and on deposit shall be treated as investment or as
business capital as the taxpayer may elect, provided, however, that
there shall be excluded from business capital such assets which are held
to maintain reserves of the taxpayer required under sections one
thousand three hundred three, one thousand three hundred four and one
thousand three hundred five of the insurance law.

(k) The term "special risk premium" means any premium received on
insurance provided the insurance is exempt from the filing requirements
with respect to rates and policy forms pursuant to article sixty-three
of the insurance law.