NY PTET Estimated Tax Due Dates, Payments and Penalties

New York PTET estimated tax due dates are March 15, June 15, September 15, and December 15 of the tax year. Every partnership or S corporation that has elected into the state’s pass-through entity tax must pay at least 25 percent of its required annual payment on each of those four dates. Miss one, or underpay one, and the state charges penalties and interest that run from the original due date until the shortfall is paid.

The Four Quarterly Due Dates

Tax Law Section 864 sets the schedule. For a calendar-year electing entity, the four installments fall on March 15, June 15, September 15, and December 15 of the taxable year itself.¹ If any of those dates falls on a Saturday, Sunday, or New York State legal holiday, the deadline shifts to the next business day.

The statute’s own wording confuses people. It describes the payments as falling “in the calendar year prior to the year in which the due date of the return falls.” In plain terms: you pay estimates during the tax year, and the annual return is due the following March 15. For the 2026 tax year, that means quarterly payments on March 15, June 15, September 15, and December 15 of 2026, and an annual return by March 15, 2027.

Entities with a short taxable year of less than twelve months follow procedures the commissioner sets rather than the standard four-date schedule.¹ Fiscal-year entities should map the quarterly dates to their accounting period with a tax professional.

How Much Each Installment Must Be

Each quarterly payment has to be at least 25 percent of the entity’s required annual payment. The required annual payment is the lesser of two figures:¹

90 percent of the PTET shown on the entity’s return for the current taxable year, or
100 percent of the PTET shown on the entity’s return for the preceding taxable year.

The prior-year safe harbor is the safer choice when income fluctuates. Take last year’s PTET liability, divide by four, and pay that amount each quarter. Even if the current year turns out much larger, the entity avoids underpayment penalties as long as each installment hits the 25 percent mark on time. Any remaining balance is due with the annual return.

Entities can also pay any installment early if cash flow permits.¹

First-Year Electors Have No Safe Harbor

An entity electing into the PTET for the first time has no prior-year PTET return to fall back on. For first-year electors, the required annual payment is 90 percent of the tax shown on the current year’s return, and each installment must be at least 25 percent of that figure.² Income forecasting matters more in year one because there is no cushion from a prior year.

The Annualized Method Is Not Available

Seasonal businesses that use the annualized installment method on personal returns to shrink early-quarter payments cannot use that technique here. New York bars entities from using the annualized method under Tax Law Section 685(c)(4) to reduce or eliminate PTET underpayment penalties.² Every installment has to meet the flat 25 percent threshold regardless of when the income was earned during the year.

How to Pay on Time

All PTET estimated payments run through the New York State Department of Taxation and Finance’s Business Online Services portal. There is no paper option. No checks, no money orders, no wire transfers. ACH debit from a business bank account is the only accepted payment method.²

To pay, log into the entity’s Business Online Services account, open the Services menu, and select “PTET web file” from either the Corporation tax or Partnership tax menu. Then choose the estimated payment option.² Have the entity’s bank routing and account numbers ready. The system generates a confirmation number after the transaction completes; save it as proof of timely payment.

If the entity does not yet have a Business Online Services account, set one up well before the first due date. Identity verification takes time, and the Department publishes the account setup requirements on its site.³ Authorized tax professionals can also file estimated payments for clients.

Penalties and Interest for a Late or Short Payment

When an entity pays late or pays less than the required installment, the state imposes penalties and interest under the same rules that apply to personal income tax in Article 22.² The underpayment penalty runs from the due date of the missed installment to the earlier of the date the shortfall is paid or the fifteenth day of the fourth month after the close of the tax year.

The underpayment interest rate changes quarterly. For the first quarter of 2026, the rate on income tax underpayments is 9.5 percent per year.⁴ A late payment that spans two quarters may be subject to a different rate in each period. When several installments are missed, each underpayment accrues its own interest from its own due date, so the total climbs quickly.

The strongest protection is the prior-year safe harbor. If each installment equals at least 25 percent of last year’s total PTET and is paid on time, the entity avoids underpayment penalties even when the current year’s liability comes in much higher.

The Election Deadline Shares March 15

None of the estimated payment dates matter until the entity has actually elected into the PTET. The election window runs from January 1 through March 15 of each tax year, the same day the first estimated payment is due.² Miss March 15 and the entity cannot elect for that tax year at all. The election is irrevocable once the first estimated payment due date passes.

Eligible entities are partnerships (including LLCs taxed as partnerships) and New York S corporations (including LLCs taxed as S corporations). Single-member LLCs, sole proprietorships, trusts, nonprofits, and corporations that are not New York S corporations cannot elect, and a federal S corporation without New York nexus is also ineligible.² The election is made online through the entity’s Business Online Services account, and tax professionals may file it for clients.

Partners and Shareholders Still Owe Personal Estimates

One point catches many owners off guard. The entity’s PTET payments cannot be transferred to individual partners’ personal estimated tax accounts. Partners and shareholders have to keep making their own personal estimated income tax payments independently.² Skipping personal estimates because “the entity is handling it through PTET” is a common and costly mistake. The PTET credit only appears on the individual return after the entity files its annual PTET return; it does not satisfy quarterly personal estimated obligations along the way.

NYC PTET Uses the Same Dates

New York City runs its own pass-through entity tax under Tax Law Article 24-B, separate from the state PTET. City partnerships and city resident S corporations can elect into both.⁵

The NYC PTET follows the same estimated payment schedule of March 15, June 15, September 15, and December 15 and uses the same 90 percent / 100 percent safe harbor structure.⁵ One difference on the election itself: only an authorized person of the entity can make the NYC PTET election, so tax professionals cannot make it for clients.

1
New York State Senate. New York Code TAX – Section 864 – Payment of Estimated Tax
2
New York State Department of Taxation and Finance. Pass-Through Entity Tax (PTET)
3
New York State Department of Taxation and Finance. Online Services for Businesses
4
New York State Department of Taxation and Finance. Interest Rates 1/01/2026 – 3/31/2026
5
New York State Department of Taxation and Finance. New York City Pass-Through Entity Tax (NYC PTET)