Multiple Choice 56. If a taxpayer becomes a New York domiciliary in 2018, when is the last day a taxpayer can satisfy the statutory resident test for that same year? a. The Matter of Sobotka is not precedential and therefore it is irrelevant b. December 31st c. June 30th d. July 4th e. None of the above 57. Which of the following statements are true? a. A domiciliary of New York can never be a statutory resident in the same year. b. An individual that was a domiciliary of New York for the entire year can never be a statutory resident for the same year. Answer c. An individual that is a statutory resident of New York can never be a domiciled in NY for the same year. d. Being a citizen of New York is irrelevant for purposes of domicile. 58. Which of the following is not relevant for determining whether a place of abode is permanent? a. Whether the abode can be used throughout the year b. Whether the abode is a camp or cottage c. How often the taxpayer used the abode d. Whether the taxpayer owns the abode 59. Which of the following taxpayers would not be considered maintaining a permanent place of abode? a. A taxpayer that lived in an abode and provided contributions toward monthly expenses b. A taxpayer that lived in an abode but only cleaned up every once in a while c. A taxpayer that owned the abode, but used the abode only sparingly and never paid the real estate taxes d. A taxpayer that owned the abode but rented it out to others for the entire year. 60. Which of the following statements best defines the substantially all of the year requirement? a. A taxpayer that rents an apartment for the entire year b. A taxpayer that is in NY for 184 days or more

c. A taxpayer that owns an apartment in NYC for 6 months of the year and after selling his home, he rents a condo in NYC for 5 months of the same year d. A taxpayer that rents an apartment from January to October 31st of the year. 61. When a NY resident changes their domicile, which of the following events does not occur? a. The taxpayer can be treated as a part year resident for the remainder of the year b. The taxpayer may only be taxed on all NY source income c. The taxpayer can still be treated as a full year resident under the statutory resident test d. All built-in appreciation in the assets owned by the taxpayer is deemed sold 62. Which of the following is an addition modification? a. All Contributions to flex spending plans b. Contributions to 401(k) retirement plans c. Contributions to 529 plans within the $10,000 limitation d. The amount of the State and local tax deduction 63. Which of the following is derived from sources within NYS? a. Wages from personal services performed in NYS b. Income from a business, trade or profession carried on in NYS c. Income from real or tangible personal property situated and then sold in NYS d. All of the above e. None of the above 64. Which of the following statements best describes the taxation of NY nonresidents? a. They are only taxed on NY source income b. They may be taxed on non-NY source income but only if connected with an investment venture c. They are never subject to tax on income from intangibles d. All of the above e. A and C Only 65. Which of the following is not a tax classification for a business entity? a. Limited Partnership b. Limited Liability Company c. Corporation d. Sole Proprietorship e. Only A and B f. A, B and D

66. Which of the following is sufficient to satisfy the due process clause for purposes of nexus? a. One sale in the state b. One employee in the state c. One customer in the state d. One advertisement in the state e. All of the above 67. PL-86-272 prevents which the following transactions from being subject to NY Tax? a. A business has an office in NYS but no store. All sales are made online to New Jersey customers only b. A business has sales into NYS of $1,000,000 and occasionally sends employees into NYS to assist stores that sell its product with repairs and advertising c. A business has no office and no physical presence in New York but does occasionally provide cleaning services to NY customers d. A business sells toys cars. It markets the sale of its products in New York through mailed brochures and internet advertisements. All customers are from New York. 68. Which of the following is merely a solicitation of an order under NYs version of PL 86-272? a. Approving or accepting orders b. Repossessing Property c. Securing deposits d. Passing product inquiries and complaints to the corporation's home office; Answer Questions 69, 70, 71 and 72 based on the following fact pattern: In 2017, a partnership owns real estate in New York worth $35,000 and owns real estate all over the United States worth $465,000. The partnership also pays salaries to employees in New York in the amount of $140,000 and pays salaries to all employees outside of New York in the amount of $260,000. Finally, the partnership earns gross sales in New York of $972,000 and $228,000 from all other places in the United States. 69. What is the partnerships NY property factor under the three-factor allocation method? a. 10% b. 5% c. 48% d. 7% 70. What is the partnerships NY payroll factor under the three-factor allocation method? a. 15% b. 35% c. 40%

d. 42% 71. What is the partnerships NY gross sales factor under the three-factor allocation method? a. 75% b. 81% c. 63% d. 49% 72. Which of the following is the partnerships average business allocation percentage under the three factor formula? a. 24% b. 29% c. 39% d. 41% 73. Which of the following is not an activity that is ancillary to the solicitation of orders under NYs version of PL 86-272? a. Carrying samples and promotional materials only for display or distribution without charge or other consideration. b. Furnishing or setting up display racks and advising customers on the display of the company's products without charge or other consideration. c. Providing cars to sales personnel for their use in conducting protected activities d. Participation in a trade show or shows for 15 days during the corporations tax year for federal income tax purposes. 74. An entity is created on June 1, 2018. The entity does not start doing business until December 15, 2018. If the entity wants to be treated as an S-corporation for NYS and NYC purposes it must make an S-corporation by which of the following dates: a. August 16, 2018 b. March 2, 2019 c. December 31, 2018 d. March 15, 2018 e. March 15, 2019 f. None of the Above 75. Which of the following is not a requirement to becoming taxed as an S-corporation? a. The entity must be created as a corporation. b. The entity cannot have more than 100 shareholders except certain family members count as a single shareholder. c. Each shareholder must be a U.S. citizen or resident d. No shareholder can be a corporation