Are rmd distributions taxable for NY state and local after you turn 70 12

The RMD distribution is taxed for New York state tax the same way it would have been taxed if they were not a RMD.  (It is just considered retirement income).

So if a QCD was made out of the RMD, it does not reduce the taxable amount?

A QCD does reduce the taxable amount on federal.  Don't know about NY.  Probably the same.   Why did you think it didn't?  

@lrich47 - it does reduce the taxable amount.

let's say your RMD is $10,000 and you direct the administrator to send $3,000 to a non-profit as a QCD. 

The RMD is satisifed as $10,000 is distributed ($7,000 to you and $3,000 to the non-profit).

your tax return would show income of $7,000 - not $10,000. 

TurboTax for NY State does not transfer the data on  QCD amount, but only the RMD amount. In fact, it states that the way to fix it is to change the amount of RMD on Federal, but that cannot be done without messing up Federal.