New York State Tax Updates
The latest news and updates on New York state and local tax.
April 13, 2026
Authored by: Breea Boylan, CPA and Penny Sweeting, CPA
Under the Sales Tax Increase Delay Amendment Act of 2025, the District of Columbia sales tax rate will increase to 7.0% starting October 1, 2026. This increase to the sales tax rate was a delayed impact of the October 1, 2025, tax changes. This impacts tangible personal property, digital goods, and taxable services
If you have questions about state sales tax rates, please reach out to a member of the Withum SALT Team.
March 2, 2026
Authored by: Bonnie Susmano, JD, MBA and Katerine Velasquez
The disapproved measure—the D.C. Income and Franchise Tax Conformity and Revision Temporary Amendment Act of 2025—closely mirrored earlier emergency legislation and was intended to remain in effect for a limited period. Among other changes, the temporary act would have altered how the District conforms to several federal Internal Revenue Code provisions and adjusted several individual income tax credits and deductions.
Key provisions of the blocked legislation included changes affecting business interest expense limitations, research and development expense treatment, and certain depreciation rules. On the individual side, the measure would have revised the standard deduction, eliminated personal exemptions, modified several federal deduction conformity items, restored and adjusted the D.C. child tax credit, reduced the child and dependent care credit, and increased the District’s earned income tax credit.
With the joint resolution now enacted, these proposed changes will not take effect, and the current D.C. tax law remains in place.
If you have any questions, please reach out to a member of the Withum SALT Team.
March 2, 2026
Authored by: Bonnie Susmano, JD, MBA and Katerine Velasquez
President Donald J. Trump has signed House Joint Resolution 142, formally overturning a District of Columbia law that would have made several temporary changes to the District’s income and franchise tax system. The resolution became law on February 18, 2026, and prevents the D.C. legislation from taking effect.
Under the District of Columbia Home Rule Act, most D.C. laws are subject to a congressional review period. If Congress passes, and the President signs, a joint resolution of disapproval within that timeframe, the affected D.C. law is nullified. In this case, Congress acted within the review window, and the signed resolution effectively repeals the tax legislation.
If you have any questions, please reach out to a member of the Withum SALT Team.
August 8, 2024
Authored by: Kiana McGowan, CPA, MBA and Penny Sweeting, CPA
On July 15, 2024, the D.C. Council passed an emergency budget that was returned unsigned by Mayor Bowser. This emergency legislation, effective from July 15, 2024, will remain in force until October 13, 2024.
The act includes numerous temporary changes to the City’s tax code, including an amendment to shift from the Joyce method of apportionment to the Finnigan method beginning in 2026. The Joyce and Finnigan rules are two approaches states use to calculate a unitary group’s apportionment sales factor. The Joyce rule treats each corporation in the group separately for tax purposes, while the Finnigan rule considers the entire group as a single entity.
Additional tax provisions in the act include:
Permanent legislation with these provisions has not yet been confirmed.
Please see a copy of the act here for additional details.
If you have questions about state apportionment requirements, please reach out to a member of the Withum SALT Team.
Disclaimer: Please note that this information is readily available at this time and is subject to change, so please consult your Withum tax advisor.
For more information on this topic, please contact a member of our team.
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