Mandatory first installment (MFI) and estimated tax threshold increase (Article 9-A)

For tax years beginning on or after January 1, 2026, the MFI and estimated tax payment thresholds for corporations subject to tax under Article 9-A have increased from $1,000 to $5,000. Therefore, S corporations subject to tax under Article 9-A are not required to make estimated tax payments.

Corporations must make an MFI of estimated tax and, if applicable, estimated MTA Surcharge when the second preceding year’s tax exceeds $5,000.

Corporations must also make estimated payments if they can reasonably expect their tax after credits to exceed $5,000.

For corporations subject to tax under Articles 9 and 33 , the threshold for franchise, excise, or gross receipts taxes remains $1,000.

For more information, visit Estimated tax requirements for corporations and Form CT-300-I , Mandatory First Installment (MFI) of Estimated Tax for Corporations .

[Part R of Chapter 59 of the Laws of 2025; Tax Law §§ 213-a(a) and 213-b(a)]