Ryan, Inc. v. New York State Department of Taxation & Finance

Order, Supreme Court, New York County (Walter B. Tolub, J.), entered November 13, 2009, which granted defendants’ motion to dismiss the complaint as moot and denied plaintiff’s cross motion for summary judgment, unanimously affirmed, without costs.

The New York State franchise tax on S corporations was calculated for tax years 2003 through 2007 as a fixed-dollar-minimum tax (FDMT) based on the corporation’s national gross payroll (wages, salaries and other personal compensation), *483which included all the taxpayer’s employees, after exclusion of its chief executive officer payroll, within and…