In the case of a resident individual or partner of a partnership doing an insurance business as a member of the New York Insurance Exchange, as described in section 6201 of the Insurance Law (see section 617-a of the Tax Law):
(1) In the case of a resident individual or partner of a partnership doing an insurance business as a member of the New York Insurance Exchange, as described in section 6201 of the Insurance Law (see section 617-a of the Tax Law):
(i)any item of loss or deduction of such business which is the individual's or partner's distributive or pro rata share for Federal income tax purposes, or which the individual or partner is required to take into account separately for Federal#
(i) any item of loss or deduction of such business which is the individual's or partner's distributive or pro rata share for Federal income tax purposes, or which the individual or partner is required to take into account separately for Federal income tax purposes; and
(ii)such individual's or partner's distributive or pro rata share of the allocated entire net income as determined by such business under sections 1503 and 1504 of article 33 of the Tax Law.#
(ii) such individual's or partner's distributive or pro rata share of the allocated entire net income as determined by such business under sections 1503 and 1504 of article 33 of the Tax Law. However, no modification is allowable in the event such distributed or pro rata share is a loss.