New York State Form IT-225, officially known as the New York State Modifications form, is a tax attachment used to report certain additions to and subtractions from amounts reported on a New York State income tax return. These modifications account for differences between federal and New York State tax treatment of particular income, deductions, and other tax-related items.
The form is issued by the New York State Department of Taxation and Finance. It is designed for taxpayers who must make New York State-specific adjustments when calculating their state tax liability. Depending on the taxpayer’s filing situation, these adjustments may increase or decrease the amount of income used for New York State tax purposes.
Form IT-225 collects information about two main categories of tax modifications. Schedule A is used to report New York State additions, while Schedule B is used to report New York State subtractions. Each schedule is divided into two parts to accommodate different taxpayer categories, including individuals, partnerships, estates, trusts, partners, shareholders, and beneficiaries.
The form records modification identification numbers, total modification amounts, and amounts allocated to New York State. It also includes calculations for combining modifications reported on the current form with amounts from additional IT-225 forms.
Taxpayers must complete only the sections that apply to their filing circumstances. Accurate reporting is important because additions and subtractions affect the calculation of New York State taxable income and may influence the taxpayer’s overall state tax liability. Incorrect amounts, missing modification codes, or improperly allocated figures can lead to reporting errors and potential processing issues.
Form IT-225 is not generally filed as a standalone tax return. It must accompany the applicable New York State income tax return, such as Form IT-201, IT-203, IT-204, or IT-205.
How To File Form IT-225
Form IT-225 is submitted to the New York State Department of Taxation and Finance as an attachment to the applicable New York State tax return.
The form identifies four returns that it can accompany:
- Form IT-201: New York State Resident Income Tax Return.
- Form IT-203: New York State Nonresident and Part-Year Resident Income Tax Return.
- Form IT-204: New York State Partnership Return.
- Form IT-205: New York State Fiduciary Income Tax Return.
Before completing Form IT-225, taxpayers should prepare their applicable primary tax return, relevant income and deduction records, and the information needed to identify the New York State modifications they must report.
Taxpayers should also review Form IT-225-I, the official instructions for Form IT-225. These instructions explain the modification codes and the circumstances under which particular additions and subtractions must be reported.
The form requires amounts to be entered in whole dollars. Taxpayers who need more space can use additional Forms IT-225 and include the corresponding totals in the designated lines.
When filing, make sure the selected return type matches the primary tax return being submitted. Complete all applicable sections and include Form IT-225 with that return.
The form itself does not provide a mailing address, filing deadline, or detailed electronic filing procedure. Those details should be confirmed using the instructions for the applicable New York State tax return.
How To Complete Form IT-225
Form IT-225 contains two main schedules:
- Schedule A: New York State additions.
- Schedule B: New York State subtractions.
Both schedules include separate sections for different taxpayer categories. The following explanations cover the identification fields, individual modification entries, restrictions, and calculations appearing on the form.
Taxpayer Information and Return Selection
Before completing either schedule, provide the identifying information requested at the top of the form.
Name(s) as Shown on Return
Enter the taxpayer’s name exactly as it appears on the corresponding New York State income tax return. If the return includes multiple taxpayers, provide the names as shown on that return.
Identifying Number as Shown on Return
Enter the identifying number associated with the primary tax return. Use the same number shown on Form IT-201, IT-203, IT-204, or IT-205, as applicable.
Select the Applicable Tax Return
Mark an X in the box corresponding to the New York State return being filed. The available choices are:
- IT-201
- IT-203
- IT-204
- IT-205
Select only the return that Form IT-225 accompanies. This selection identifies the type of taxpayer return associated with the modifications being reported.
Schedule A: New York State Additions
Schedule A is used to report additions required for New York State tax purposes. These adjustments are entered separately from the subtractions reported in Schedule B.
The schedule is divided into two parts. Part 1 covers individuals, partnerships, and estates or trusts. Part 2 covers partners, shareholders, and beneficiaries.
Enter all amounts in whole dollars.
Part 1: Individuals, Partnerships, and Estates or Trusts
This section is used to report New York State additions applicable to individuals, partnerships, and estates or trusts.
Line 1: New York State Additions
Use this section to list the applicable New York State addition modifications. Each entry requires a modification identification number and two monetary amounts.
The table contains seven available entry rows, from 1a through 1g.
For each row, complete the following fields:
Line 1a: First Addition Entry
Enter the applicable New York State addition code beginning with the prefix A-. Record the total amount of the modification in Column A and the amount allocated to New York State in Column B.
Line 1b: Second Addition Entry
Enter the next applicable addition code beginning with A-. Provide the corresponding total modification amount in Column A and the New York State allocated amount in Column B.
Line 1c: Third Addition Entry
Report another applicable New York State addition using its corresponding A- identification number. Enter the full modification amount and the applicable New York State allocated amount.
Line 1d: Fourth Addition Entry
Enter the fourth addition modification, if applicable. Include its identification number and the amounts required in both columns.
Line 1e: Fifth Addition Entry
Use this row to report another applicable addition. Provide the correct A- modification code, total amount, and New York State allocated amount.
Line 1f: Sixth Addition Entry
Enter the sixth applicable addition modification, if any. Report its identification number and both corresponding amounts.
Line 1g: Seventh Addition Entry
Use the final available row to report another applicable New York State addition. Enter the modification code and the required monetary amounts.
Column A: Total Amount
Enter the total amount associated with each addition modification. This column records the full modification amount for the applicable entry.
Column B: NYS Allocated Amount
Enter the portion of the modification allocated to New York State. This is a separate amount from the total reported in Column A.
The form does not provide the allocation calculation method. Refer to Form IT-225-I for the applicable reporting and allocation rules.
Line 2: Total of Part 1 Additions
Add the amounts entered in Column A for lines 1a through 1g. Enter the combined total on line 2.
Only Column A amounts are included in this calculation.
Line 3: Additional Part 1 Addition Amounts
If additional Forms IT-225 were completed, enter the combined Column A amounts reported in Schedule A, Part 1 of those additional forms.
If no additional forms were used, enter zero.
Line 4: Combined Part 1 Additions
Add the amount on line 2 to the amount on line 3. Enter the result on line 4.
This amount represents the total Schedule A, Part 1 additions reported across the applicable forms.
This section is intended for partners, shareholders, and beneficiaries reporting applicable New York State addition modifications.
It contains seven available entry rows, from 5a through 5g.
Before entering information, review the restrictions associated with the type of return being filed:
- Form IT-201 filers: Do not enter modification code EA-113.
- Form IT-203 filers: Do not enter modification code EA-113.
- Form IT-205 filers: Do not enter modification codes EA-113 or EA-201.
These restrictions must be followed when selecting modification codes for this section.
Line 5: New York State Additions for Partners, Shareholders, and Beneficiaries
Use this section to report applicable addition modifications associated with partnership, shareholder, or beneficiary income.
Each entry requires an EA- modification identification number, a total amount, and a New York State allocated amount.
Line 5a: First Addition Entry
Enter the applicable EA- modification code and its corresponding total amount in Column A. Report the New York State allocated amount in Column B.
Line 5b: Second Addition Entry
Report the second applicable addition, if any. Include its EA- identification number and both required amounts.
Line 5c: Third Addition Entry
Enter another applicable addition modification using the correct EA- code. Provide the total amount and New York State allocated amount.
Line 5d: Fourth Addition Entry
Use this row to report the fourth applicable addition modification. Complete the identification number and both amount columns.
Line 5e: Fifth Addition Entry
Enter the fifth applicable addition, including its modification code, total amount, and New York State allocated amount.
Line 5f: Sixth Addition Entry
Report another applicable addition modification using the appropriate EA- identification number. Enter the corresponding amounts in both columns.
Line 5g: Seventh Addition Entry
Use the final available row for another applicable addition. Provide the correct identification number and the two required amounts.
Line 6: Total of Part 2 Additions
Add the amounts reported in Column A for lines 5a through 5g. Enter the combined amount on line 6.
Do not include Column B amounts in this calculation.
Line 7: Additional Part 2 Addition Amounts
If additional Forms IT-225 were used, enter the total of the Column A amounts from Schedule A, Part 2 of those forms.
If there are no additional forms, enter zero.
Line 8: Combined Part 2 Additions
Add line 6 and line 7. Enter the resulting amount on line 8.
This calculation combines the additions reported in Part 2 across all applicable IT-225 forms.
Line 9: Total New York State Additions
Add the amount on line 4 to the amount on line 8. Enter the result on line 9.
This is the combined total of the New York State additions reported in Schedule A, including both Part 1 and Part 2.
Schedule B: New York State Subtractions
Schedule B is used to report New York State subtraction modifications. These adjustments represent amounts that must be subtracted when determining income for New York State tax purposes.
Like Schedule A, this schedule contains two parts. Part 1 is for individuals, partnerships, and estates or trusts. Part 2 is for partners, shareholders, and beneficiaries.
All amounts must be entered in whole dollars.
Part 1: Individuals, Partnerships, and Estates or Trusts
This section is used to report applicable New York State subtractions for individuals, partnerships, and estates or trusts.
Line 10: New York State Subtractions
Enter the applicable New York State subtraction modifications in the available rows, from 10a through 10g.
Each entry requires an S- modification identification number, the total amount, and the New York State allocated amount.
Line 10a: First Subtraction Entry
Enter the applicable subtraction identification number beginning with S-. Report the total modification amount in Column A and the New York State allocated amount in Column B.
Line 10b: Second Subtraction Entry
Enter the second applicable subtraction modification, if any. Include its S- code and both corresponding amounts.
Line 10c: Third Subtraction Entry
Report another applicable New York State subtraction. Enter the correct modification identification number, total amount, and allocated amount.
Line 10d: Fourth Subtraction Entry
Use this row to report the fourth applicable subtraction modification. Complete the identification number and both monetary columns.
Line 10e: Fifth Subtraction Entry
Enter another applicable subtraction using its appropriate S- modification code. Include the total amount and New York State allocated amount.
Line 10f: Sixth Subtraction Entry
Report the sixth applicable subtraction, if any. Provide the identification number and the corresponding amounts in Columns A and B.
Line 10g: Seventh Subtraction Entry
Use the final available row to report another applicable New York State subtraction. Enter the correct S- code and both required amounts.
Column A: Total Amount
Enter the full amount associated with each reported subtraction modification.
Column B: NYS Allocated Amount
Enter the portion of each subtraction modification allocated to New York State. The applicable allocation should be determined using the relevant reporting instructions.
Line 11: Total of Part 1 Subtractions
Add the amounts in Column A for lines 10a through 10g. Enter the total on line 11.
Only the Column A amounts are included in this calculation.
Line 12: Additional Part 1 Subtraction Amounts
If additional Forms IT-225 were completed, enter the combined Column A amounts from Schedule B, Part 1 of those forms.
If no additional IT-225 forms were used, enter zero.
Line 13: Combined Part 1 Subtractions
Add line 11 and line 12. Enter the result on line 13.
This amount represents the combined Part 1 subtractions reported on the current form and any additional IT-225 forms.
This section is designed for partners, shareholders, and beneficiaries who must report applicable New York State subtraction modifications.
There are seven available entry rows, from 14a through 14g.
Before completing this section, observe the following restrictions:
- Form IT-201 filers: Do not enter modification codes ES-106, ES-107, or ES-125.
- Form IT-203 filers: Do not enter modification codes ES-106, ES-107, or ES-125.
- Form IT-205 filers: Do not enter modification code ES-125.
These restrictions determine which subtraction modification codes may be entered for the applicable return type.
Line 14: New York State Subtractions for Partners, Shareholders, and Beneficiaries
Use this section to report applicable subtraction modifications associated with partners, shareholders, and beneficiaries.
Each entry requires an ES- identification number, a total amount, and a New York State allocated amount.
Line 14a: First Subtraction Entry
Enter the applicable subtraction code beginning with ES-. Record the total modification amount in Column A and the New York State allocated amount in Column B.
Line 14b: Second Subtraction Entry
Report the second applicable subtraction modification, if any. Include the ES- identification number and the corresponding amounts.
Line 14c: Third Subtraction Entry
Enter another applicable subtraction modification using its correct ES- code. Provide the total amount and the New York State allocated amount.
Line 14d: Fourth Subtraction Entry
Use this row to report the fourth applicable subtraction. Complete the modification identification number and both amount columns.
Line 14e: Fifth Subtraction Entry
Enter the fifth applicable subtraction modification, including its ES- identification number, total amount, and New York State allocated amount.
Line 14f: Sixth Subtraction Entry
Report another applicable subtraction, if any. Enter the correct modification code and the corresponding amounts in Columns A and B.
Line 14g: Seventh Subtraction Entry
Use the final available row for another applicable subtraction modification. Provide the correct ES- identification number and both monetary amounts.
Column A: Total Amount
Enter the total amount associated with each subtraction modification reported in this section.
Column B: NYS Allocated Amount
Enter the amount of each subtraction allocated to New York State. Use the applicable allocation rules to determine the correct figure.
Line 15: Total of Part 2 Subtractions
Add the amounts entered in Column A for lines 14a through 14g. Enter the combined total on line 15.
Only Column A amounts are used in this calculation.
Line 16: Additional Part 2 Subtraction Amounts
If additional Forms IT-225 were completed, enter the combined Column A amounts from Schedule B, Part 2 of those forms.
If no additional forms were filed, enter zero.
Line 17: Combined Part 2 Subtractions
Add line 15 and line 16. Enter the result on line 17.
This amount represents the total Part 2 subtractions reported across the applicable IT-225 forms.
Line 18: Total New York State Subtractions
Add the amount on line 13 to the amount on line 17. Enter the combined result on line 18.
This is the total of all New York State subtraction modifications reported in Schedule B, including both Part 1 and Part 2.
Understanding the Modification Codes and Amount Columns
Form IT-225 uses different modification code prefixes depending on the schedule and taxpayer category.
The prefixes identify the type of modification being reported:
- A-: Used for additions in Schedule A, Part 1.
- EA-: Used for additions in Schedule A, Part 2.
- S-: Used for subtractions in Schedule B, Part 1.
- ES-: Used for subtractions in Schedule B, Part 2.
The form provides separate spaces for the modification identification number, total amount, and New York State allocated amount.
It is important to select the correct modification code before entering any figures. The code identifies the specific adjustment being reported, while the two amount columns distinguish the total modification from the portion allocated to New York State.
The form does not include a complete list of modification codes or their eligibility requirements. Taxpayers should consult Form IT-225-I to identify the correct code and determine the appropriate amounts to report.
Additional Form IT-225 Requirements
Taxpayers who have more modification entries than the available rows can use additional Forms IT-225.
When additional forms are used, the applicable totals must be transferred to the designated lines:
- Line 3: Additional Schedule A, Part 1 amounts.
- Line 7: Additional Schedule A, Part 2 amounts.
- Line 12: Additional Schedule B, Part 1 amounts.
- Line 16: Additional Schedule B, Part 2 amounts.
These lines use the Column A totals from the corresponding sections of the additional forms.
Make sure the amounts are entered in the correct sections so that the calculations on lines 4, 8, 13, and 17 include all applicable modifications.
Final Review Before Filing
Before submitting Form IT-225 with your New York State tax return, review the following items to help avoid common reporting errors.
- Confirm that the taxpayer’s name matches the name shown on the primary tax return.
- Verify that the identifying number is correct.
- Mark the correct return type: IT-201, IT-203, IT-204, or IT-205.
- Complete all applicable sections of Schedule A and Schedule B.
- Verify that each addition uses the correct A- or EA- modification code.
- Verify that each subtraction uses the correct S- or ES- modification code.
- Review the restrictions on modification codes for the applicable return type.
- Check that Column A contains the correct total modification amounts.
- Check that Column B contains the correct New York State allocated amounts.
- Enter all monetary amounts in whole dollars.
- Verify the calculations on lines 2, 4, 6, 8, and 9 of Schedule A.
- Verify the calculations on lines 11, 13, 15, 17, and 18 of Schedule B.
- Include the applicable additional-form totals on lines 3, 7, 12, and 16.
- Confirm that all required additional Forms IT-225 are included.
- Review Form IT-225-I for modification code definitions, eligibility requirements, and allocation instructions.
- Make sure Form IT-225 is submitted with the correct primary New York State tax return.
Accurate completion of Form IT-225 helps ensure that New York State additions and subtractions are properly reported and incorporated into the applicable tax return. Review every modification code and calculation before filing, and retain the supporting tax records used to prepare the form.