New York City income tax elimination credit

Who is eligible?

You are entitled to this tax credit if:

• you are a full-year or part-year resident of New York City;
• you claimed one or more dependents;
• you did not claim New York City or New York State pass-through entity tax (PTET) credits;
• your federal adjusted gross income (FAGI) is no more than $5,000 above your applicable income threshold; and
• your investment income is $10,000 or less.

For more information on income thresholds, see the instructions for Form IT-270.

How much is the credit?

• Full credit: If your FAGI is less than or equal to your income threshold, you qualify for full credit equal to the tax due reduced by the applicable credits.
• Partial credit: If your FAGI is not more than $5,000 above your income threshold, you may qualify for partial credit.

Note: You cannot claim this credit if your FAGI is more than $5,000 above your income threshold.

Additional information

• Form IT-270, New York City Income Tax Elimination Credit, and its instructions.