N.Y. Comp. Codes R. & Regs. tit. 20, § 3-8.6
A foreign expropriation loss sustained in a taxable year beginning on or after January 1, 1961 may be carried as a net operating loss deduction to each of the 10 taxable years following the taxable year in which the loss occurred provided such loss is allowed as a net operating loss deduction in each of the 10 taxable years following the taxable year of such loss for Federal income tax purposes.