Stock transfer tax

The stock transfer tax is imposed on the sale or transfer of any of the following that occur within New York State:

stock

agreements to sell stock

memoranda of sales of stock

certificates of stock

certificates of rights to stock

certificates of interest in property or accumulations

certificates of deposit

certificates of interest in business conducted by trustees

Tax rates

tax rates Selling price Rate (cents per share) Sale or agreement to sell at less than $5 per share 1 ¼ ¢ Sale at $5 or more but less than $10 per share 2 ½ ¢ Sale at $10 or more but less than $20 per share 3 ¾ ¢ Sale at $20 or more per share 5 ¢ Transfers of stock or certificates of interest other than by sale 2 ½ ¢

Procedure for paying tax

Taxpayers other than securities brokers and dealers can pay the tax in the following way:

purchasing tax stamps;

affixing them to the bill of sale or stock certificate surrendered; and then

canceling the tax stamps so they can't be used again.

Taxpayers who pay stock transfer tax through the purchase of stamps can obtain a 100% rebate of the tax paid by filing a claim with the Tax Department. For more information see, TSB-M-82(6)M Stock Transfer Tax Rebate Program Stamp Users.

Securities brokers and dealers may pay stock transfer tax through a clearing corporation or other authorized agent without the use of tax stamps.

Certain transfers are exempt from tax if accompanied by a proper exemption certificate.

Returns and instructions

More information