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State tax docs / States / New York

New York state income tax: engine rules, 2026

How the QuantCalc engine computes New York tax for tax year 2026, rule by rule, with the official source for each rule. Verification status: Worksheet-tested (what this means).

On this page: How the tax is computed · Rate schedule · Deductions, exemptions and credits · Social Security · IRA, 401(k) and private pensions · Public pensions · Military retirement pay · Roth conversions · Capital gains · Surtaxes and recapture · Blindness and disability · Part-year and nonresident returns · Worked examples · After 2026 · Not calculated · Verification. Machine-readable: this state's entry in the engine config and the provenance file (key NY).

How the tax is computed

Every step the engine takes for New York, in the order it takes them. Steps marked with a filing status or household type apply only there. Each step links the section below that carries New York's figures and the official sources for it; the calculation order page describes every step for all jurisdictions.

What each filing status gets, read back from the engine for a household with $1 of income (so below every phase-out and income test):

SingleMarried filing jointlyMarried filing separatelyHead of household
Rate schedule usedsingle schedulejoint schedulesingle schedulehead-of-household schedule
Top rate10.9% from $25,000,00010.9% from $25,000,00010.9% from $25,000,00010.9% from $25,000,000
Standard deduction, under 65$8,000$16,050$8,000$11,200
Standard deduction at 70 (joint: both 70)$8,000$16,050$8,000$11,200
Personal exemptionnonenonenonenone
Age subtractions at 70 (joint: both 70)nonenonenonenone
  1. Per-person mode joint returns with the spouse's age given On a joint return with the spouse's age given, every age test the state applies per taxpayer is evaluated for each spouse at their own age. Without it one household age applies to both.
    engine step (compute_state_tax_detail). Engine convention, no external source: The engine cannot know the second spouse's age unless told.
  2. Blindness and disability, per person only when the caller says a person is blind or disabled The filer is person one; the spouse counts only on a joint return and only when the caller says so (there is no household convention as for age). Where a state lets a disabled person (and, where it says so, a blind one, or one whose spouse is disabled) qualify for its general retirement exclusion before the age, that person is treated as having reached the age for that exclusion only. Of the 42 taxing jurisdictions, these have a blind amount: Arizona, Arkansas, California, Colorado, Delaware, the District of Columbia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Jersey, New Mexico, North Dakota, Oklahoma, Oregon, Utah, Vermont and Virginia; these have none: Alabama, Connecticut, Georgia, Louisiana, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, West Virginia and Wisconsin. A disability route is calculated in Arkansas, the District of Columbia, Georgia, Hawaii, Idaho, Iowa, Maryland, Michigan, New Jersey, Oregon and West Virginia.
    engine step (compute_state_tax_detail). Engine convention, no external source: Who is blind or disabled is the caller's statement; the engine has no household convention for it.
  3. Rate schedule and standard deduction by filing status Single uses the single schedule and deduction; married filing jointly the joint ones. Head of household and married filing separately follow the two steps below.
    New York's values · engine step (select_brackets). Sources (Rate schedule): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); 2025 IT-201 instructions (checked 2026-10-12)
  4. Married filing separately Where the state publishes its own separate schedule, that one (with half the joint deduction unless a separate deduction is set). Where one schedule applies to every status, that schedule unscaled with the single deduction. Otherwise the joint schedule with every threshold and the deduction halved (computed as the joint tax on twice the income, halved).
    New York's values · engine step (select_brackets). Sources (Rate schedule): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); 2025 IT-201 instructions (checked 2026-10-12)
  5. Head of household The state's head-of-household schedule where it has one, else the single schedule; the head-of-household deduction where set, else the single deduction.
    New York's values · engine step (select_brackets). Sources (Rate schedule): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); 2025 IT-201 instructions (checked 2026-10-12)
  6. The income total every income test uses Other ordinary income + retirement distributions (before any exclusion) + conversion + federally taxable Social Security + long-term gains + Railroad Retirement Tier 2. It stands in for federal adjusted gross income in every threshold, cliff and phase-out below; state subtractions do not reduce it.
    engine step (compute_state_tax_detail). Engine convention, no external source: The inputs are the federal AGI components, so their sum is federal AGI for these income types.
  7. Attributing income to each spouse joint returns with each spouse's own amounts given With a caller's split (the API's spouse object), each spouse's own distributions (employer-plan money included), pension, public pension, conversion, wages and military pay; spouse 2's shares are clamped into the household totals and spouse 1 gets the rest. Without a split, in per-person mode, every item is divided 50/50. Social Security is divided by each spouse's own gross benefits where the caller gives spouse.socialSecurityGross, else 50/50; other ordinary income and gains are always divided 50/50 where a rule needs a per-person amount. The split is used only where a state's rule is per taxpayer; household totals stay authoritative for the base and the income tests.
    engine step (compute_state_tax_detail). Engine convention, no external source: Equal attribution is the neutral split when the owner of a dollar is not known.
  8. Disability pay only when the caller gives the person facts (a civil service annuity, disability pay, Social Security disability, survivor benefits, an IRA basis or an exception) Each person's disability pay (the caller's disabilityIncome, part of the pension income) is excluded up to the state's cap (all of it where there is none), for a totally and permanently disabled person where the state requires it and below the age where there is one; on a joint return without per-person amounts the cap is doubled only when a second person can qualify (the spouse also said to be disabled where the state requires it). Where the state reduces it, the total is reduced dollar for dollar by the return's income over the threshold (one threshold per return; the separate-return threshold where there is one). The excluded dollars leave the base before any retirement exclusion. Where the state reads it, the plan's minimum retirement age (when given) replaces the age at which the pay stops being excluded.
    New York's values · engine step (compute_state_tax_detail). Sources (Blindness and disability): New York State Department of Taxation and Finance: it2105i_2026.pdf (checked 2026-10-12); New York State Department of Taxation and Finance: it201i_2025.pdf (checked 2026-10-12); New York State Department of Taxation and Finance: it221i_2025.pdf (checked 2026-10-12)
  9. Keeping the per-spouse shares inside the household joint returns with each spouse's own amounts given After the public-pension and employer-pension carve-outs, if the two spouses' remaining shares add up to more than the household's exclusion-eligible distributions (an inconsistent split), spouse 1's share is reduced so they do not.
    engine step (compute_state_tax_detail). Engine convention, no external source: Input normalisation.
  10. Military retirement pay The state's military rule runs first, on military pay alone, per taxpayer: each spouse's own pay at their own age when attributed, otherwise half each at the household age on a joint return. Exempt dollars leave the base; the rest become pension dollars for the general retirement rules. Where the state lets a disabled retiree qualify at any age, a disabled person is treated as having reached the rule's age.
    New York's values · engine step (compute_state_tax_detail). Sources (Military retirement pay): It201i (checked 2026-10-12)
  11. One taxpayer's military exemption Exempt: all of it (below the age split, up to the younger cap). Capped: up to the cap for the age tier, plus the earned-income bonus below the age split when the taxpayer's own wages exceed the threshold, less the taxpayer's own Social Security where the rule says so. Percentage: the percentage (below the age split, up to the younger cap). Then the income limit: above it the exemption is lost, or phased out over the range where one is set.
    New York's values · engine step (military_exempt_one). Sources (Military retirement pay): It201i (checked 2026-10-12)
  12. Capital-loss deduction off the base The deduction comes off the other ordinary income (negative income, as Form 1040 line 7a is), so the base and every state-AGI figure summed from it carry it; WI no more than Wisconsin ordinary income (Schedule WD line 28(c)). States whose base is federal taxable income (with the caller's figure) already have it there and take it only once. Engine 1.13.1: the allowed rental loss comes off the same way, on its own line (rental_loss_deduction).
    New York's values · engine step (compute_state_tax_detail). Sources (Capital gains): Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12); 2025 Form IT-201 Instructions (checked 2026-10-12); 2025 Schedule D (Form 1040), Capital Gains and Losses (checked 2026-10-12)
  13. Public pension exemption Public-pension dollars leave the base, uncapped or up to the per-taxpayer cap (each spouse's own public pension against their own cap when attributed), without using up the general exclusion the remaining distributions may claim. Capped-out public dollars stay taxable and cannot draw the private exclusion.
    New York's values · engine step (compute_state_tax_detail). Sources (Public pensions): Instructions for Form IT-201 Full-Year Resident Income Tax Return (2025) (checked 2026-10-12); Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  14. Social Security exempt None of the federally taxable benefit enters the base.
    New York's values · engine step (ss_amount_in_state_base). Sources (Social Security): Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  15. Does a conversion draw the retirement cap? Where the state lets a conversion draw the capped exclusion, and the filer is at or above the conversion age (the state's own pooling age where it has one; any age for a disabled person where the state says so), the conversion is pooled with distributions against the cap. A spouse who elects not to claim the exclusion draws none of it.
    New York's values · engine step (compute_state_tax_detail). Sources (Roth conversions): TSB-M-98(7)I: Roth IRAs (Technical Services Bureau Memorandum, December 24, 1998) (checked 2026-10-12)
  16. Retirement exclusion per spouse (both ages known) joint returns with the spouse's age given Full-exclusion states exclude each qualifying spouse's own dollars. Capped states give each spouse the single cap for their own age against their own eligible dollars (pension dollars only where the exclusion is pension-only; employer dollars only below the IRA age), less their military exclusion and their own Social Security offset (by the spouse's stated gross benefits, else half). Per-return states (and the pooled-if-both-qualify rule when both qualify) apply the joint cap to the couple's pooled eligible dollars when either spouse qualifies. The income tests then apply once to the summed deduction.
    New York's values · engine step (compute_state_tax_detail). Sources (IRA, 401(k) and private pensions): Instructions for Form IT-201 Full-Year Resident Income Tax Return (2025) (checked 2026-10-12); Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  17. Conversion pooled with distributions The conversion joins the distributions against the one cap (with a spouse split in a per-taxpayer state, each spouse's own distributions and conversion against that spouse's cap). Nothing of the conversion is added separately.
    New York's values · engine step (compute_state_tax_detail). Sources (Roth conversions): TSB-M-98(7)I: Roth IRAs (Technical Services Bureau Memorandum, December 24, 1998) (checked 2026-10-12)
  18. Retirement exclusion (household) The distributions eligible for the exclusion go through the exclusion below. Taxable public-pension dollars left by a cap are not eligible; below the IRA age only employer-plan dollars are.
    New York's values · engine step (compute_state_tax_detail). Sources (IRA, 401(k) and private pensions): Instructions for Form IT-201 Full-Year Resident Income Tax Return (2025) (checked 2026-10-12); Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  19. Conversion taxed or exempt In full-exclusion states a conversion is exempt at the qualifying age (at any age where the state says so). Elsewhere, unless pooled above, it is ordinary income taxed in full.
    New York's values · engine step (compute_state_tax_detail). Sources (Roth conversions): TSB-M-98(7)I: Roth IRAs (Technical Services Bureau Memorandum, December 24, 1998) (checked 2026-10-12)
  20. Cap by age tier The full cap at or above the exclusion age, the lower cap at or above the partial age, otherwise none. Joint returns use the joint cap; every other status the single cap.
    New York's values · engine step (retirement_distributions_in_state_base). Sources (IRA, 401(k) and private pensions): Instructions for Form IT-201 Full-Year Resident Income Tax Return (2025) (checked 2026-10-12); Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  21. The capped deduction Deduction = the smaller of the eligible distributions and the cap, then reduced by the income limit above; the rest of the distributions stays in the base.
    New York's values · engine step (retirement_distributions_in_state_base). Sources (IRA, 401(k) and private pensions): Instructions for Form IT-201 Full-Year Resident Income Tax Return (2025) (checked 2026-10-12); Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  22. One taxpayer's cap joint returns with the spouse's age given For per-spouse calculations, each spouse's cap is the single-column cap for their age tier.
    New York's values · engine step (per_taxpayer_cap_single). Sources (IRA, 401(k) and private pensions): Instructions for Form IT-201 Full-Year Resident Income Tax Return (2025) (checked 2026-10-12); Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  23. Long-term gains in the base Where gains are taxed as ordinary income: net long-term gain less the flat exclusion (never below zero), times the inclusion share. Elsewhere none enters.
    New York's values · engine step (compute_state_tax_detail). Sources (Capital gains): Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12); 2025 Form IT-201 Instructions (checked 2026-10-12); 2025 Schedule D (Form 1040), Capital Gains and Losses (checked 2026-10-12)
  24. Dependent exemptions and deductions only when the caller lists dependents An amount per dependent subtracted like the personal exemption: the state's flat amount, or the stepped per-exemption amount the filer gets, or the state's own income steps; nothing above an income limit where there is one; a percentage phase-out per income step where there is one; one more for a dependent in an age band or a student up to an age, for a dependent born in the year, and for a disabled dependent; a deduction per dependent beyond the first on joint and head-of-household returns; and a child deduction by an income table for dependents under an age. A head of household's status exemption that already holds one dependent's amount counts one fewer. Where the state says so, the phase-out is measured on the state AGI (the base before deductions).
    New York's values · engine step (compute_state_tax_detail). Sources (Deductions, exemptions and credits): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); New York State Department of Taxation and Finance: it201i_2025.pdf (checked 2026-10-12); New York State Department of Taxation and Finance: it221i_2025.pdf (checked 2026-10-12); Form IT-215 (2025) Claim for Earned Income Credit (checked 2026-10-12); Instructions for Form IT-215 (2025) (checked 2026-10-12); Form IT-201 (2025) Resident Income Tax Return (checked 2026-10-12); Form IT-214 (2025) Claim for Real Property Tax Credit (checked 2026-10-12); Instructions for Form IT-214 (2025) (checked 2026-10-12)
  25. State taxable income Other ordinary income + Social Security, retirement income, conversion and gains left in the base − standard deduction − personal exemption − age subtractions.
    engine step (compute_state_tax_detail). Engine convention, no external source: The order of subtraction follows the state forms; each amount is sourced at its own step.
  26. No tax at or below zero State taxable income at or below zero returns a tax of 0 (credits are not refundable), unless the state has a tax computed apart from taxable income that still applies (next step).
    engine step (compute_state_tax_detail). Engine convention, no external source: Every credit the engine carries is nonrefundable, so nothing below can make a zero tax negative; each credit is sourced at its own step.
  27. Separate-return scaling married filing separately For the halved-joint rule, taxable income is doubled before the schedule and the result halved.
    New York's values · engine step (compute_state_tax_detail). Sources (Rate schedule): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); 2025 IT-201 instructions (checked 2026-10-12)
  28. The rate schedule Each bracket's rate on the part of taxable income inside it, summed. No rounding: the result is carried in full precision.
    New York's values · engine step (apply_state_brackets). Sources (Rate schedule): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); 2025 IT-201 instructions (checked 2026-10-12)
  29. The rate schedule as printed (New York) New York's Tax Law §601 prints its 2026 schedules as whole-dollar base amounts plus the rate on the excess over the bracket's start; each base is the previous base plus the previous bracket's full tax, rounded to the dollar. The engine uses those bases wherever it reads the schedule (the tax, the §601(d-1) recapture worksheets, a part-year return's full-year tax). Other states' whole-dollar schedules are the revenue department's rounding of statutory rates and stay on the exact sums.
    New York's values · engine step (st_brackets). Sources (Rate schedule): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); 2025 IT-201 instructions (checked 2026-10-12)
  30. Tax-benefit recapture On state AGI (the income in the base before deductions) above the start, the recapture below is added. Where the state publishes the worksheets' constants, they are used (the step below) in place of the computed benefits.
    New York's values · engine step (compute_state_tax_detail). Sources (Surtaxes and recapture): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); It201i 2025 (checked 2026-10-12)
  31. The recapture worksheets For each bracket below the filer's top one, its benefit (flat rate times the bracket bottom, less the schedule tax on it, less the lower brackets' benefit) is phased in over $50,000 of income above the larger of $107,650 and the bracket bottom. Fully phased in, all taxable income is taxed at the top rate. Where the first worksheet applies to taxable income below its bracket, the flat rate of that bracket applies to all of it, phased in the same way.
    New York's values · engine step (ny_tax_benefit_recapture). Sources (Surtaxes and recapture): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); It201i 2025 (checked 2026-10-12)
  32. The published recapture worksheets The worksheets with the state's published constants: while taxable income is at most the top of the bracket holding the start, the flat rate of that bracket times taxable income less the schedule tax, times the phase-in; above it, the tier's recapture base plus its incremental benefit times the phase-in over the tier bottom; above the top threshold, the top rate times taxable income. Every phase-in fraction is rounded to the fourth decimal place.
    New York's values · engine step (ny_recapture_published). Sources (Surtaxes and recapture): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); It201i 2025 (checked 2026-10-12)
  33. Family size and household credits Family size credits: a share of the tax left after the personal credits, by family size (the filer, the spouse on a joint return, and the dependents — every dependent, or only qualifying children, as the state says; at most the state's largest size) and the income total, from the state's table (separate returns: half every limit where the state says so). Household credits: an amount by income (single) or by income and household size (joint and head of household; separate returns their own table).
    New York's values · engine step (compute_state_tax_detail). Sources (Deductions, exemptions and credits): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); New York State Department of Taxation and Finance: it201i_2025.pdf (checked 2026-10-12); New York State Department of Taxation and Finance: it221i_2025.pdf (checked 2026-10-12); Form IT-215 (2025) Claim for Earned Income Credit (checked 2026-10-12); Instructions for Form IT-215 (2025) (checked 2026-10-12); Form IT-201 (2025) Resident Income Tax Return (checked 2026-10-12); Form IT-214 (2025) Claim for Real Property Tax Credit (checked 2026-10-12); Instructions for Form IT-214 (2025) (checked 2026-10-12)
  34. Credits cannot make the tax negative The credits are subtracted and the result floored at zero.
    engine step (compute_state_tax_detail). Engine convention, no external source: Every credit the engine carries is nonrefundable; each credit is sourced at its own step.
  35. Qualifying surviving spouse qualifying surviving spouse returns A qualifying surviving spouse (filingStatus qss) is one person on the return, taxed from the single figures with the state's own treatment of the status laid over them: where the state says so, the joint rate schedule, the joint standard deduction, the joint personal exemption, the joint income limits and phase-outs (only those the state sets for joint returns), the married 65+ and blindness amounts, or the head-of-household return; where the state gives the status nothing of its own, the single return. The federal figures the engine derives for the status are the federal qualifying-surviving-spouse ones (the joint standard deduction, the married 65+ amount).
    New York's values · engine step (state_tax_effective_config). Sources (Rate schedule): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); 2025 IT-201 instructions (checked 2026-10-12)
  36. Railroad Retirement benefits only when the caller gives Railroad Retirement benefits Railroad Retirement benefits are never taxed by a state (45 U.S.C. §231m). Tier 2 (railroadRetirementTier2) is in the income total the tests use but never in the base. Tier 1 (railroadRetirementTier1) is a part of the gross benefits (socialSecurityGross); its share of the taxable benefits is taken out of the Social Security every state rule sees, so a state that taxes Social Security never reaches it. Where a state's worksheet says so, the benefits reduce a retirement cap or subtraction (ID, IN, MD, ME, MN: both tiers; MI: the taxable railroad benefits); Minnesota's and Utah's Social Security rules test an income without them, Minnesota's, New Jersey's and California's retirement income tests an income without Tier 2; Ohio and Delaware test their own AGI everywhere, which never holds the benefits.
    New York's values · engine step (compute_state_tax_detail). Sources (Social Security): Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  37. The capital-loss deduction the state allows With a net capital loss (capitalLoss): the smaller of the loss and the state's limit (the federal $3,000 / $1,500 where the state follows the federal return; MA $2,000, and no more than the interest and dividends); AL the loss less the part carried in, unlimited; PA and NJ none. It comes off the income total the income tests use (and the Social Security worksheets' income); the gross-income filing test (LA) reads the total before it. Engine 1.13.1: with a rental loss (rentalNetIncome below 0, the federal Schedule E line 26 amount) the state allows, the whole loss where the state starts from federal AGI or follows the federal schedule, none in PA and NJ (rental_loss_no_offset): it comes off the same income the same way; a rental profit is other ordinary income.
    New York's values · engine step (compute_state_tax_detail). Sources (Capital gains): Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12); 2025 Form IT-201 Instructions (checked 2026-10-12); 2025 Schedule D (Form 1040), Capital Gains and Losses (checked 2026-10-12)
  38. Each spouse's own Social Security joint returns On a joint return, each spouse's own Social Security is the spouse's share of the benefits by spouse.socialSecurityGross when the caller gives it (Tier 1 railroad benefits left out), else half each. It is what the per-spouse rules read: Colorado's per-spouse subtraction, Rhode Island's per-spouse modification, and the Maine, Maryland and other retirement caps reduced by the benefits each spouse received (with each spouse's own railroad benefits where the state counts them).
    New York's values · engine step (compute_state_tax_detail). Sources (Social Security): Form IT-201 Resident Income Tax Return (2025) (checked 2026-10-12)
  39. Refundable state credits The credits paid beyond the tax (reported in refundableCredits; netTax = totalTax less them): earned income credits as a share of the federal EIC with each state's own age band (OK on the 2020 federal credit, DC's own childless schedule, the CalEITC table, MN's Working Family Credit), the NYC EIC and school tax credits, and the property-tax, renter, grocery and senior credits of MA, MI, NJ, ID, HI, NM, OK, AZ, NY, RI, WV, ME, DC, MN, MO, WI, IN and MT, each on its own income measure. Engine 1.13.1: a part-year NYC resident's school tax credits (the Table 2 proration chart and the rate-reduction amount on IT-360.1 line 47; IT-203 lines 60 / 60a for a part-year state resident).
    New York's values · engine step (state_tax_refundable_credits). Sources (Deductions, exemptions and credits): Instructions for Form IT-2105 Estimated Income Tax Payment Voucher for Individuals (2026) (checked 2026-10-12); Irs releases tax inflation adjustments for tax year 2026 including amendments from the one big beautiful bill (checked 2026-10-12); New York State Department of Taxation and Finance: it201i_2025.pdf (checked 2026-10-12); New York State Department of Taxation and Finance: it221i_2025.pdf (checked 2026-10-12); Form IT-215 (2025) Claim for Earned Income Credit (checked 2026-10-12); Instructions for Form IT-215 (2025) (checked 2026-10-12); Form IT-201 (2025) Resident Income Tax Return (checked 2026-10-12); Form IT-214 (2025) Claim for Real Property Tax Credit (checked 2026-10-12); Instructions for Form IT-214 (2025) (checked 2026-10-12)

Rate schedule

Single

Taxable income fromtoRate
$0$8,5003.9%
$8,500$11,7004.4%
$11,700$13,9005.15%
$13,900$80,6505.4%
$80,650$215,4005.9%
$215,400$1,077,5506.85%
$1,077,550$5,000,0009.65%
$5,000,000$25,000,00010.3%
$25,000,000and up10.9%

Married filing jointly

Taxable income fromtoRate
$0$17,1503.9%
$17,150$23,6004.4%
$23,600$27,9005.15%
$27,900$161,5505.4%
$161,550$323,2005.9%
$323,200$2,155,3506.85%
$2,155,350$5,000,0009.65%
$5,000,000$25,000,00010.3%
$25,000,000and up10.9%

Head of household

Taxable income fromtoRate
$0$12,8003.9%
$12,800$17,6504.4%
$17,650$20,9005.15%
$20,900$107,6505.4%
$107,650$269,3005.9%
$269,300$1,616,4506.85%
$1,616,450$5,000,0009.65%
$5,000,000$25,000,00010.3%
$25,000,000and up10.9%

Married filing separately: one schedule applies to every filing status, so the engine uses it unscaled with the single deduction.

Deductions, exemptions and credits

  • Standard deduction (or the exemption the engine carries in its place): $8,000 single, $16,050 married filing jointly, $11,200 head of household.

Social Security

Social Security benefits are fully exempt: none of the federally taxable amount enters the state base.

API value: socialSecurityRule: "exempt". The engine's input is the federally taxable amount; income tests use the sum of the income components as the adjusted-gross-income proxy.

IRA, 401(k) and private pensions

  • Pension, annuity and IRA/401(k) distributions: up to $20,000 excluded per taxpayer ($40,000 on a joint return) at age 59 or older.
  • Joint returns: the cap is per taxpayer. With the spouse's age given (couples), each spouse's own dollars are tested against that spouse's own age and cap; without it one household age applies and the $40,000 joint cap covers pooled income.

Source differs from the engine. The source shows 59½; the engine carries age 59. The engine's age test is a whole year (59); the statute's is 59½. This difference is open and listed on the verification page.

Source review notes (what the sources do not state outright, or what the engine does not carry):

Public pensions

Public (government) pension dollars, entered as pensionPublic, are exempt with no dollar cap. They do not use up the capped exclusion that other retirement income may claim.

Source review notes (what the sources do not state outright, or what the engine does not carry):

Military retirement pay

  • Military retirement pay is fully exempt, at any age.
  • Rules are applied per taxpayer at that person's own age when the spouse's age is given. API value: rules.militaryRetirement.treatment: "exempt".

Roth conversions

A conversion draws the retirement-income exclusion together with distributions from age 59; the part above the cap is taxed as ordinary income.

Capital gains

  • Net long-term gain is taxed as ordinary income.
  • Short-term gains are ordinary income.

Surtaxes and recapture

  • Tax-benefit recapture: above $107,650 of income, the benefit of the lower brackets is taken back, phased in over $50,000; fully phased in, all taxable income is taxed at the filer's top marginal rate. The first step applies the flat rate of the bracket just above the start to all taxable income up to that bracket's top, as the state worksheet does.

Source review notes (what the sources do not state outright, or what the engine does not carry):

Blindness and disability

  • The API applies these through its blind, disabled, spouse.blind and spouse.disabled fields; absent means false.

Part-year and nonresident returns

  • Part-year resident (IT-203): the tax a full-year resident would owe on all the year's income, times the state's income ratio.
  • Nonresident (IT-203): the tax a full-year resident would owe on all the year's income, times the state's income ratio.
  • The ratio: the state's own AGI (after its subtractions) of the state's income over the state AGI of the whole year, rounded to 4 places, which may exceed 1.
  • A nonresident's retirement income is not taxable by the state (4 U.S.C. §114); the API refuses it in residency.stateIncome. The credit for tax paid to another state and the earned income credits on these returns are not computed.

Married couples whose residency differs (engine 1.13.0)

With residency.spouse on a joint request, each allowed treatment is calculated and reported in residency.couple; tax is the required one, else the state's default, else the couple's residency.election, else the joint return the request's mfj names. Each rule is quoted from the state's instructions (engine 1.14.0: and its statutes, regulations, bulletins and other official guidance) in the sources below.

SpousesNew York's rule
One spouse a full-year resident, the other a part-year residentseparate returns, unless the couple elects a joint resident return (both taxed as full-year residents).
One spouse a full-year resident, the other a nonresidentseparate returns, unless the couple elects a joint resident return (both taxed as full-year residents).
One spouse a part-year resident, the other a nonresidenta joint part-year / nonresident return is required.
Both part-year residents, different resident periodsa joint part-year / nonresident return is required.
Both nonresidents, only one with income from the statea joint part-year / nonresident return is required.

Worked examples

Computed by the engine for the fixed households below (the same ones for every state, so states compare directly). Federal tax is not supplied, so a federal-tax deduction is not taken; the income tests use the sum of the components as income.

Household (engine inputs)State tax
Single, 67: $30,000 private pension, $20,000 IRA, $10,000 interest, $24,000 Social Security ($17,000 federally taxable), $5,000 long-term gain$1,833.40
Married filing jointly, 70: $40,000 public pension, $40,000 IRA, $20,000 interest, $40,000 Social Security ($34,000 federally taxable), $10,000 long-term gain$544.05
Single, 60: $60,000 other ordinary income and a $50,000 Roth conversion$4,270.65
Married filing jointly, 66: $30,000 IRA, a $40,000 Roth conversion, $30,000 Social Security ($25,500 federally taxable)$544.05
Single, 58: $36,000 military retirement pay and $30,000 wages$1,023.40
Married filing jointly, ages 67 and 61: $50,000 IRA, $10,000 interest, $30,000 Social Security ($25,500 federally taxable), each spouse's age given$154.05

Line by line

The intermediate lines the engine records while it computes each example (its detail record, printed as it comes out; lines that are zero are left out). The engine's documentation build checks that the lines add up to the taxable income and the tax, for every state, filing status and a grid of households. Each line links the engine step that produces it.

Single, 67: $30,000 private pension, $20,000 IRA, $10,000 interest, $24,000 Social Security ($17,000 federally taxable), $5,000 long-term gain: $1,833.40
LineAmount
Income total used by the income tests$82,000
Retirement income and conversions excluded (not in the base)$20,000
+ Other ordinary income in the base$10,000
+ Retirement income in the base$30,000
+ Long-term gain in the base$5,000
− Standard deduction$8,000
= State taxable income$37,000
Tax from the rate schedule$1,833.40
= Tax before credits$1,833.40
= Tax$1,833.40
Married filing jointly, 70: $40,000 public pension, $40,000 IRA, $20,000 interest, $40,000 Social Security ($34,000 federally taxable), $10,000 long-term gain: $544.05
LineAmount
Income total used by the income tests$144,000
Retirement income and conversions excluded (not in the base)$80,000
+ Other ordinary income in the base$20,000
+ Long-term gain in the base$10,000
− Standard deduction$16,050
= State taxable income$13,950
Tax from the rate schedule$544.05
= Tax before credits$544.05
= Tax$544.05
Single, 60: $60,000 other ordinary income and a $50,000 Roth conversion: $4,270.65
LineAmount
Income total used by the income tests$110,000
Retirement income and conversions excluded (not in the base)$20,000
+ Other ordinary income in the base$60,000
+ Retirement income in the base$30,000
− Standard deduction$8,000
= State taxable income$82,000
Tax from the rate schedule$4,270.65
= Tax before credits$4,270.65
= Tax$4,270.65
Married filing jointly, 66: $30,000 IRA, a $40,000 Roth conversion, $30,000 Social Security ($25,500 federally taxable): $544.05
LineAmount
Income total used by the income tests$95,500
Retirement income and conversions excluded (not in the base)$40,000
+ Retirement income in the base$30,000
− Standard deduction$16,050
= State taxable income$13,950
Tax from the rate schedule$544.05
= Tax before credits$544.05
= Tax$544.05
Single, 58: $36,000 military retirement pay and $30,000 wages: $1,023.40
LineAmount
Income total used by the income tests$66,000
Military pay excluded (not in the base)$36,000
+ Other ordinary income in the base$30,000
− Standard deduction$8,000
= State taxable income$22,000
Tax from the rate schedule$1,023.40
= Tax before credits$1,023.40
= Tax$1,023.40
Married filing jointly, ages 67 and 61: $50,000 IRA, $10,000 interest, $30,000 Social Security ($25,500 federally taxable), each spouse's age given: $154.05
LineAmount
Income total used by the income tests$85,500
Retirement income and conversions excluded (not in the base)$40,000
+ Other ordinary income in the base$10,000
+ Retirement income in the base$10,000
− Standard deduction$16,050
= State taxable income$3,950
Tax from the rate schedule$154.05
= Tax before credits$154.05
= Tax$154.05

After 2026: how the amounts move

A request with projection (API) estimates a later tax year from these rules: every dollar amount and age test below moves the way New York's law moves it. Rates and the rules themselves stay the 2026 ones (how projection works).

Amounts (engine fields)After 2026What the law says, and the source
brackets_single (the single rate schedule's thresholds), brackets_mfj (the mfj rate schedule's thresholds), brackets_hoh (the hoh rate schedule's thresholds)Fixed in law: held at the rules-year amount in every later year.Tax Law 601(a)-(c) print nominal bracket amounts for each period; there is no current indexing (601-a indexing applied only to 2013-2017). The thresholds are unchanged for 2027-2032; for 2033+ schedule (ix) drops the $5,000,000 and $25,000,000 brackets (top rate 8.82% above $2,155,350 joint / $1,616,450 HOH / $1,077,550 single). Rate changes are listed in enacted_changes_not_modelled.
  • N.Y. Tax Law § 601 (NY Senate Open Legislation; Internet Archive capture) (New York State Senate, statute): Subsection (a) schedules (vii)-(ix). Quoted: "for taxable years beginning after two thousand twenty-six and before two thousand thirty-three the following rates shall apply"; "for taxable years beginning after two thousand thirty-two the following rates shall apply"; "$143,107 plus 8.82% of excess over $2,155,350". Checked 2026-10-12.
ny_rc_bottom, ny_rc_base, ny_rc_incrFixed in law: held at the rules-year amount in every later year.The tax-table benefit recapture uses statute-printed recapture base and incremental benefit amounts that change with the rate schedule: (d-5) for 2026, (d-6) for 2027-2032, (d-7) for 2033 on (no $5M tier, no $25M flat rule). Tier bottoms are unchanged until 2033. None is indexed. The recapture amounts are derived from the rate schedule they belong to, and the projection holds NY's rates at 2026, so QuantCalc holds the 2026 amounts with them; the 2027-2032 and 2033 amounts are listed under enacted changes not applied.
  • N.Y. Tax Law § 601 (NY Senate Open Legislation; Internet Archive capture) (New York State Senate, statute): Subsections (d-5), (d-6), (d-7). Quoted: "for taxable years beginning on or after two thousand twenty-seven and before two thousand thirty-three, there is hereby imposed a supplemental tax"; "$161,550 $323,200 $333 $808 $323,200 $2,155,350 $1,141 $3,393 $2,155,350 $5,000,000 $4,534 $60,350 $5,000,000 $25,000,000 $64,884 $32,500"; "for taxable years beginning on or after two thousand thirty-three, there is hereby imposed a supplemental tax"; "$1,077,550 $2,829 $21,228"; "$1,616,450 $3,614 $31,844"; "$2,155,350 $4,534 $42,461". Checked 2026-10-12.
ny-recapture-start-width (a table held in code)Fixed in law: held at the rules-year amount in every later year.Recapture starts at NY AGI over $107,650 with a $50,000 phase-in in every period; the flat top-rate rule for NY AGI over $25,000,000 applies through 2032 and is absent from (d-7) (2033+). The start and phase-in width are the same in every period; QuantCalc holds them. The end of the $25,000,000 flat-rate rule from 2033 goes with the 2033 rate change listed under enacted changes not applied.
std_deduction_single, std_deduction_mfj, std_deduction_hohFixed in law: held at the rules-year amount in every later year.Tax Law 614(f): for years after 2017 the standard deductions are the statutory amounts adjusted by the 601-a cost-of-living adjustment for 2013-2017 only, i.e. frozen at $8,000 / $16,050 / $11,200; no further indexing.
  • N.Y. Tax Law § 614 (NY Senate Open Legislation; Internet Archive capture) (New York State Senate, statute): Subsection (f). Quoted: "for taxable years beginning after two thousand seventeen, the standard deductions set forth in this section shall be the amounts set forth in this section adjusted by the cost of living adjustment prescribed in section six hundred one-a of this part for tax years two thousand thirteen through two thousand seventeen". Checked 2026-09-30.
retirement_income_exclusion_single, retirement_income_exclusion_mfjFixed in law: held at the rules-year amount in every later year.Pension and annuity exclusion up to $20,000 per individual aged 59 1/2 or older (Tax Law 612(c)(3-a)); nominal, no indexing.
retirement_exclusion_min_age, conversion_exclusion_min_ageAttained age: the same age in every year.Fixed attained age 59 1/2 (the engine rounds it to 59).
dep_exemptionFixed in law: held at the rules-year amount in every later year.$1,000 per dependent exemption (Tax Law 616(a)); nominal, no indexing.
hhc_single_limit, hhc_single_amount, hhc_joint_limit, hhc_joint_amount, hhc_joint_step, hhc_mfs_amount, hhc_mfs_stepFixed in law: held at the rules-year amount in every later year.The household credit tables (income bands to $28,000 single / $32,000 joint and the per-exemption add-ons) are nominal in Tax Law 606(b), unchanged since 1986; MFS uses half of the joint amounts.
dis_income_cap, dis_income_reduce_overFixed in law: held at the rules-year amount in every later year.Disability income exclusion as under former IRC 105(d) as in effect before its 1984 repeal ($100 a week, reduced dollar for dollar over $15,000 of AGI), combined with the pension exclusion capped at $20,000; frozen federal rules, no indexing.
dis_income_max_ageAttained age: the same age in every year.Former IRC 105(d) applied only to taxpayers under 65 (the frozen rule the statute adopts); fixed age.
cap_loss_limit, cap_loss_limit_mfsFixed in law: held at the rules-year amount in every later year.New York starts from federal AGI, so the fixed IRC 1211(b) limit applies.
  • 26 U.S.C. 1211 (Limitation on capital losses) (Legal Information Institute (Cornell) - U.S. Code, federal): IRC 1211(b) limits a non-corporate capital loss against other income to $3,000 ($1,500 MFS), with no inflation adjustment. Quoted: "(1) $3,000 ($1,500 in the case of a married individual filing a separate return), or". Checked 2026-10-12.
ny-credits (a table held in code)Fixed in law: held at the rules-year amount in every later year.Tax Law 606(e) (real property tax credit) and 606(ggg) (NYC school tax credit) set fixed amounts; no indexing clause.
  • Form IT-214 (2025) Claim for Real Property Tax Credit (New York State Department of Taxation and Finance, agency_page): Real Property Tax Credit (Form IT-214, submitted with IT-201) Quoted: "If line 8 is more than $18,000, stop; you do not qualify for this credit."; "Multiply line 12 by 25% (0.25); enter here and on line 18". Checked 2026-10-12.
  • Instructions for Form IT-214 (2025) (New York State Department of Taxation and Finance, agency_page): Real Property Tax Credit (Form IT-214, submitted with IT-201) Quoted: "the credit can be as much as $375."; "houses, garages, and land, was $85,000 or less.". Checked 2026-10-12.

Enacted for later years, not applied by the projection

What the engine does not calculate, and known approximations

What the engine does not calculate for any state (itemized deductions, credits beyond those listed, part-year residents, and more) is listed on the calculation order page.

Verification

Worksheet-tested Engine 1.2.0 tests follow the 2026 IT-2105-I tax rate schedules and recapture worksheets, including the head-of-household schedule.