§ 1514. Payments of estimated tax. (a) First installment of estimated
tax. (1) Except as otherwise provided in paragraph two of this
subdivision, for taxable years beginning on or after January first,
nineteen hundred seventy-six, every taxpayer subject to tax under this
article must pay in each year an amount equal to (i) twenty-five percent
of the tax imposed under this article for the second preceding taxable
year if the second preceding year's tax exceeded one thousand dollars
but was equal to or less than one hundred thousand dollars, or (ii)
forty percent of the tax imposed under this article for the second
preceding taxable year if the second preceding year's tax exceeded one
hundred thousand dollars. If the second preceding year's tax exceeded
one thousand dollars and the taxpayer is subject to the tax surcharge
imposed by section fifteen hundred five-a of this article, the taxpayer
must also pay an amount equal to (i) twenty-five percent of the tax
surcharge imposed under section fifteen hundred five-a of this article
for the second preceding taxable year if the second preceding year's tax
was equal to or less than one hundred thousand dollars, or (ii) forty
percent of the tax surcharge imposed for the second preceding taxable
year if the second preceding year's tax exceeded one hundred thousand
dollars.

(2) For taxable years beginning on or after January first, nineteen
hundred ninety-nine, every taxpayer subject to tax under paragraph one
of subdivision (b) of section fifteen hundred ten of this article shall
pay in each such year an amount equal to forty percent of the tax
imposed under such article for the second preceding taxable year, if
such second preceding year's tax exceeded one thousand dollars. If such
second preceding year's tax exceeded one thousand dollars and such
taxpayer is subject to the tax surcharge imposed by section fifteen
hundred five-a of this article, such taxpayer shall also pay an amount
equal to forty percent of the tax surcharge imposed under section
fifteen hundred five-a of this article for the second preceding taxable
year.

(3) Such amount or amounts described in paragraphs one and two of this
subdivision shall be paid with the return required to be filed with
respect to such tax or tax surcharge for the preceding taxable year or
with an application for extension of the time for filing such return,
for taxable years beginning before January first, two thousand sixteen,
and shall be paid on or before the fifteenth day of the third month of
each taxable year, for taxable years beginning on or after January
first, two thousand sixteen.

(b) Other installments. The estimated tax or estimated tax surcharge
for each taxable year with respect to which a declaration of estimated
tax or a declaration of estimated tax surcharge, respectively, is
required to be filed under this article shall be paid, in the case of a
taxpayer which reports on the basis of a calendar year, as follows:

(1) If the declaration is filed on or before June fifteenth, the
estimated tax or estimated tax surcharge shown thereon, after applying
thereto the amount, if any, paid during the same taxable year pursuant
to subdivision (a) of this section, 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 September
fifteenth, and one on the following December fifteenth.

(2) If the declaration is filed after June fifteenth and not after
September fifteenth of such taxable year, and is not required to be
filed on or before June fifteenth of such year the estimated tax or
estimated tax surcharge shown on such declaration, after applying
thereto the amounts, if any, paid during the same taxable year pursuant
to subdivision (a) of this section, 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
December fifteenth.

(3) If the declaration is filed after September fifteenth of such
taxable year, and is not required to be filed on or before September
fifteenth of such year, the estimated tax or estimated tax surcharge
shown on such declaration, after applying thereto the amount, if any,
paid in respect of such year pursuant to subdivision (a) of this section
shall be paid in full at the time of the filing of the declaration.

(4) If the declaration is filed after the time prescribed therefor, or
after the expiration of any extension of time therefor, paragraphs two
and three of this subdivision shall not apply and there shall be paid at
the time of such filing all installments of estimated tax or estimated
tax surcharge 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.

(c) Payments after amendment of declaration. 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 or estimated tax surcharge by
reason of such amendment, and if any amendment is made after September
fifteenth of the taxable year, any increase in the estimated tax or
estimated tax surcharge by reason thereof shall be paid at the time of
making such amendment.

(d) (1) Application of first installments based on second preceding
year's tax. Any amount paid pursuant to subdivision (a) shall be applied
as a first installment against the estimated tax or estimated tax
surcharge, respectively, of the taxpayer for the taxable year shown on
the declaration required to be filed pursuant to section fifteen hundred
thirteen, or if no declaration is filed pursuant to such section, any
such amount shall be considered a payment on account of the tax or tax
surcharge shown on the return required to be filed by the taxpayer for
such taxable year.

(2) Any amount paid pursuant to paragraph four of subsection (c) of
section six hundred fifty-eight of this chapter on behalf of a taxpayer
subject to tax under this article shall be applied against the estimated
tax of the taxpayer for the taxable year shown on the declaration
required to be filed pursuant to section fifteen hundred thirteen of
this article, or if no declaration is filed pursuant to such section,
any such amount shall be considered a payment on account of the tax
shown on the return required to be filed by the taxpayer for such
taxable year.

(e) Interest on certain installments based on the second preceding
year's tax. Notwithstanding the provisions of section one thousand
eighty-eight of this chapter or section sixteen of the state finance
law, if an amount paid pursuant to subdivision (a) of this section
exceeds the tax or tax surcharge, respectively, shown on the return
required to be filed by the taxpayer for the taxable year during which
such amount was paid, interest shall be allowed and paid on the amount
by which the amount so paid pursuant to subdivision (a) exceeds such tax
or tax surcharge, at the overpayment rate set by the commissioner of
taxation and finance pursuant to subdivision (e) of section one thousand
ninety-six or, if no rate is set, at the rate of six percent per annum,
from the date of payment of the amount so paid pursuant to such
subdivision (a) to the fifteenth day of the third month following the
close of the taxable year, 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
loss described in paragraph four of subdivision (b) of section fifteen
hundred three.

(f) The second preceding year's tax defined. As used in this section,
"the second preceding year's tax" means, for taxpayers subject to tax
under subdivision (b) of section fifteen hundred ten of this article,
the taxes imposed upon the taxpayer by sections fifteen hundred one and
fifteen hundred ten of this article from the second preceding taxable
year or as otherwise determined by subdivision (b) of section fifteen
hundred five of this article, and for taxpayers subject to tax under
section fifteen hundred two-a of this article, the tax imposed upon the
taxpayer by such section fifteen hundred two-a of this article from the
second preceding year.

(g) Fiscal year. The provisions of this section shall apply to taxable
years 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.

(h) Application to short taxable period. This section shall apply to a
taxable period of less than twelve months in accordance with regulations
of the tax commission.

(i) Extension of time. The commissioner of taxation and finance may
grant a reasonable extension of time, not to exceed six months, for the
payment of any installment of estimated tax or estimated tax surcharge
required pursuant to this section, on such terms and conditions as he
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 underpayment rate set by the commissioner pursuant to
subdivision (e) of section one thousand ninety-six or, if no rate is
set, at the rate of six percent 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.

(j) Payment of installments in advance. A taxpayer may elect to pay
any installment of estimated tax or estimated tax surcharge prior to the
date prescribed in this section for the payment thereof.