(a) A taxpayer which ceases to exercise its New York State corporate franchise is required to file a return on the date of such cessation, or at such other time as the Tax Commission may require, covering each year or period for which no return was filed (see section 17-3.1 of this Title Cessation periods). The return is required regardless of whether the taxpayer continues in existence and remains subject to article 32 of the Tax Law or dissolves and ceases to be subject to tax. If the taxpayer continues in business, the return is tentative and the tax must be adjusted on the next return due, either the next annual return or the final return.

(b) Any other taxpayer which ceases to do business in New York State in a corporate or organized capacity and thereby ceases to be subject to tax under article 32 of the Tax Law, or any taxpayer which ceases to be subject to tax under article 32 of the Tax Law because of a change in the nature of its activities or because of a change in the ownership or control of its voting stock (see section 17-3.1 of this Title Cessation periods), is required to file a return on the date of such cessation, date of such change or at such other times as the Tax Commission may require, covering each year or period for which no return was filed.

(c) A corporation which is taxed on the basis of a combined return and which, during the taxable year, (1) ceases to be subject to tax under article 32 of the Tax Law (see section 17-3.1 of this Title Cessation periods), or (2) ceases to exercise its franchise but remains to tax, may, in the discretion of the Tax Commission, be permitted to be included in the combined return for such taxable year. Such corporation shall file a separate return and pay a tax of not less than $250 at the time of such cessation.