N.Y. Comp. Codes R. & Regs. tit. 20, § 4-8.4 – Deduction of expenses. | Midpage
§ 4-8.4
N.Y. Comp. Codes R. & Regs. tit. 20, § 4-8.4
Deduction of expenses.
Department of Taxation and Finance
(a) Investment income must be reduced by any deductions allowed in computing entire net income which are directly or indirectly attributable to investment capital or investment income. Deductions allowed in computing investment income are not taken into account in computing business income.
(b) Deductions allowed in computing entire net income which are directly attributable to investment capital or investment income include, among others: interest incurred to carry investment capital, safe deposit box rentals, financial news subscriptions, salaries of officers and employees engaged in the management and conservation of stocks, bonds and other securities included in investment capital, investment counsel fees, custodian fees, the cost of insurance and fidelity bonds covering investment capital, and legal expenses relating to investment capital.