§ 15-02 General.
RCNY § 15-02
(§ 11-641(f), Administrative Code) (a) A taxpayer doing a banking business, as defined in Subchapter 3 of Part 4 of Chapter 6 of Title 11 of the Administrative Code, which establishes an international banking facility within New York City may take as a deduction in computing its entire net income the adjusted eligible net income, as determined hereunder, of such international banking facility. However, in the event the adjusted eligible net income of the international banking facility is a loss, the amount of such loss must be added to Federal taxable income in computing the taxpayer's entire net income. An international banking facility (hereinafter called "IBF") shall have the same meaning as set forth in the New York State Banking Law or regulations promulgated thereunder or as set forth in the Laws of the United States or regulations of the Board of Governors of the Federal Reserve System.
(b)The adjusted eligible net income of an IBF is computed by subtracting from eligible gross income the following: (1) expenses or other deductions directly or indirectly attributable to eligible gross income, (2) the ineligible funding amount, and (3) the floor amount.
(c)An IBF established within New York City is required to: (1) Be located within New York City.
(2)Make loans to and receive deposits from foreign persons as defined in 19 RCNY § 15-01, infra.
(3)Maintain books and records that accurately reflect gross income, gains, losses, deductions, assets, liabilities, and other activities of the IBF for the taxable year and make available to the Department of Finance upon its request any information necessary to substantiate the deduction determined hereunder. Such information may include, but shall not be limited to: (i) a list of all loans made, arranged for, placed, or serviced during the taxable year indicating the borrower, loan number, date proceeds dispersed, maturity date, amount borrowed, and terms; (ii) a list of all deposits made or placed during the taxable year indicating where such deposits were made or placed, date of deposit, amount, and terms; and (iii) a list of all depositors for the taxable year.
