Skip universal navigation

New York State Universal header

Skip to main content

Schedule W: Report of Purchases Eligible for Credit by a Qualified Empire Zone Enterprise (QEZE)

Complete Schedule W if you are a Qualified Empire Zone Enterprise (QEZE) and made purchases eligible for the QEZE sales and use tax credit.

Note:  If you take credits on this schedule, you must substantiate and document your claim. 

Do not use Schedule W to claim a credit for tax paid on qualifying purchases of motor fuel or diesel motor fuel. You must use Form FT-500, Application for Refund of Sales Tax paid on Automotive Fuels.

Verify eligibility

If you were certified by Empire State Development (ESD) before April 1, 2009, you must have:

  • applied for and received Form DTF-81-PC, Qualified Empire Zone Enterprise (QEZE) Sales Tax Certification;
  • received your Empire Zone Retention Certificate (EZRC) from ESD; and
  • passed the employment test for the tax year ending before the period covered by this schedule.

If you meet these qualifications, you may use this schedule to claim a credit for tax paid on qualifying purchases.

If you were certified by ESD on or after April 1, 2009, you must have:

  • received your EZRC from ESD; and
  • passed the employment test for the tax year ending before the period covered by this schedule.

If you meet these qualifications, you may use this schedule to claim a credit for tax paid on qualifying purchases, but only if the qualifying purchase is made in a locality that has elected to provide the credit. The following localities are currently eligible:

  • Allegany County
  • Cayuga County
  • Auburn (city)
  • Erie County
  • Herkimer County
  • Montgomery County
  • Niagara County

If the locality where you made the purchase is not listed as an eligible locality, no credit of any taxes (NYS, MCTD or local) is available.

Has your business passed the employment test for the tax year ending before the period covered by this return?

You must pass an employment test at the end of every tax year (calendar or fiscal) to determine if you qualify for QEZE sales tax benefits for the next tax year. The effective date from your Certificate of Eligibility (issued by ESD) determines which worksheet you need to include:

  • Form AU-12.1, if you were certified by ESD before April 1, 2005
  • Form AU-12.2, if you were certified by ESD on or after April 1, 2005, and before April 1, 2009
  • Form AU-12.3, if you were certified by ESD on or after April 1, 2009

You will be asked to attach the appropriate worksheet later in this application.

If your credit or refund claim covers periods from more than one tax year, you must complete the employment test for each tax year required.

Purchases eligible for credit by jurisdiction

If you were certified by ESD before April 1, 2009, use the jurisdiction line for the locality where the purchase was made. If a purchase was made in a local jurisdiction that is not listed, enter the amount on either the New York State only 4% line or the New York State/MCTD 4 3/8% line, as applicable.

If you were certified by ESD on or after April 1, 2009, credit is only allowed if the jurisdiction has elected to provide this credit (Allegany County, Cayuga County, city of Auburn, Erie County, Herkimer County, Montgomery County and Niagara County). If the locality has not made this election, no credit of any taxes (State, MCTD and local) is allowed. Do not make any entries on either the New York State only 4% line or the New York State/MCTD 4 3/8% line.

Updated: