reglab/statecodes huggingface dataset:
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.1 - Interest and gains from certain obligations; taxable status of State and Federal securities

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Gross income shall not include interest on
				obligations:
1. Issued by or on behalf of New
				Jersey or any county, municipality, school or other district, agency, authority,
				commission, instrumentality, public corporation (including one created or existing
				pursuant to agreement or compact with this or any other state), body corporate, and
				politic or political subdivision of New Jersey:
i.
				Specifically included within this subsection is interest received with respect to
				Certificates of Participation issued in connection with lease-purchase agreements,
				provided that the liability for payments of principal and interest is solely that of
				a New Jersey governmental entity;
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.2 - Qualified investment fund distributions

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Gross income shall
				not include the portion of any distribution from a qualified investment fund paid on
				or after January 1, 1987, which is attributable to interest or gain from the
				following:
1. Obligations that are issued by, or
				on behalf of, New Jersey or any county, municipality, school or other district,
				agency, authority, commission, instrumentality, public corporation (including one
				created or existing pursuant to agreement or compact with this or any other state),
				body corporate, and politic or political subdivision of New Jersey; or
2. Those obligations which are statutorily free
				from state or local taxation under any act of New Jersey or under the laws of the
				United States.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.3 - Employee accident or health insurance exclusion from taxable gross income

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Amounts
				received by an employee through an accident or health insurance plan for personal
				injuries or sickness are not subject to tax under the New Jersey Gross Income Tax
				Act.
(b) Amounts received by an employee
				on account of personal injury or sickness qualify for exclusion from taxable gross
				income when received under the provisions of an employee accident or health
				insurance plan which satisfies the following requirements:
1. The payments must be compensation for wage loss
				which results from absence due to injury or sickness of the employee; and
2. The payments must have a requisite certainty
				under an enforceable contractual obligation under the plan (see (e) below);
				and
3. The payments must not relate to
				sick leave wage continuation, the taking of which is largely discretionary and the
				payments are made regardless of the reason for absence from work.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.5 - Pensions and annuities

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An employee may defer the payment of tax on
				both employee and employer contributions to I.R.C. § 401(k) deferred
				compensation plans. Employee contributions to any other type of retirement plan
				including, but not limited to, plans under I.R.C. § 403(b), I.R.C. § 457,
				I.R.C. § 414(h), SEP, Federal Thrift Savings Funds, or Individual Retirement
				Accounts must be included in gross income. Employer contributions to these plans
				receive tax-deferred treatment.
(b) Both
				employee and employer contributions to SIMPLE IRAs, SEP, and SARSEP plans are
				included in taxable wages (neither receive tax-deferred treatment).
(c) Disability pensions: Pension amounts received
				as a result of a permanent and total disability are excludable from gross income.
1. "Permanent and total" disability means the
				inability to engage in any substantial gainful activity by reason of any medically
				determinable physical or mental impairment.
2. A "substantial gainful activity" means the
				performance of significant duties over a reasonable period of time while working for
				pay or profit, or in work generally done for pay or profit.
3. To be considered permanent and total, a
				physician must certify that the condition is either expected to result in death or
				has lasted (or can be expected to last) continuously for at least 12
				months.
4. An individual who is
				receiving a disability pension and is gainfully employed or working for profit does
				not meet the criteria of a permanent and total disability and must include this
				disability pension income in the gross income category of pension and annuity
				income.
5. If an individual retires
				before age 65 on a total and permanent disability pension and continues to receive
				pension payments after reaching age 65, then the disability pension is treated as
				ordinary pension income beginning the year the individual reaches age
				65.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.6 - Qualified State Tuition Program; education individual retirement account

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Definition: A
				"qualified state tuition program" means:
1. An
				account established under the New Jersey Better Educational Savings Trust (NJBEST)
				Program; or
2. An account established
				under the laws of any other state as defined under section 529 of the Internal
				Revenue Code; or
3. A tuition credit or
				certificate purchased under such program.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.7 - Health Care Enterprise Zones

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An eligible taxpayer
				may deduct a Health Enterprise Zone deduction from the taxpayer's gross income. To
				be eligible for this tax benefit, a taxpayer must be engaged in providing primary
				care in either:
1. A practice located within a
				Health Enterprise Zone; or
2. A
				qualified practice located in New Jersey and within five miles of a Health
				Enterprise Zone.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.8 - Alternative business calculation

Current through Register Vol. 56, No. 14, July 15, 2024
(a) For tax years
				beginning on or after January 1, 2012,
				54A:3-9 establishes an alternative
				business calculation under the New Jersey Gross Income Tax Act (Act) with the intent
				of giving tax relief to gross income taxpayers with business losses. The Act
				provides an adjustment to taxable income, which uses a calculation that consolidates
				business income and/or loss and allows taxpayers to carryforward unutilized business
				losses.
(b) The alternative business
				calculation applies to residents, nonresidents, part-year residents, part-year
				nonresidents, estates, and trusts with income or loss derived in one or more of the
				four categories of business income specified under (c) below.
(c) The four categories of business income
				determined pursuant to N.J.S.A. 54A:5-1b., d., k., and p. and
				N.J.A.C.
				18:35-1.1, 1.3, and 1.5, included in the
				alternative business calculation are:
1. Net
				profits from business;
2. Net gains or
				net income derived from or in the form of rents, royalties, patents, and
				copyrights;
3. Distributive share of
				partnership income; and
4. Net pro rata
				share of S corporation income.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 2 - EXCLUSIONS AND DEDUCTIONS › Section 18:35-2.9 - Medical expenses deduction

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A taxpayer may
				deduct from gross income qualified medical expenses in excess of two percent of
				gross income.
1. Qualified medical expenses are
				medical expenses:
i. That are allowed for Federal
				income tax purposes;
ii. For the
				taxpayer, taxpayer's spouse/civil union partner or domestic partner, or taxpayer's
				dependents; and iii. That have not been reimbursed by insurance or a similar
				provider.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 3 - ESTIMATED TAX › Section 18:35-3.1 - Estimated tax

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Every resident and nonresident individual
				shall make a declaration of the individual's estimated New Jersey personal income
				tax for each taxable year beginning after June 30, 1976, if the individual's
				estimated New Jersey personal income tax can reasonably be expected to be more than
				$ 400.00 in excess of any credits allowable against the individual's tax, whether or
				not the individual is required to file a Federal declaration of estimated tax for
				such year. Estates and trusts are required to file declarations of estimated tax,
				other than estates and trusts that meet the two-year limitation and other criteria
				of Internal Revenue Code section 6654(l).
(b) The term "estimated tax" means the amount
				which an individual estimates to be the individual's income tax under the Gross
				Income Tax Act for the taxable year, less the amount which the individual estimates
				to be the sum of any credits allowable against the tax.
(c)
									54A:8-4(d)  requires
				individuals, other than farmers, who can reasonably expect their New Jersey personal
				income tax to be more than $ 400.00 in excess of any credits allowable against the
				individual's tax, to file a declaration of estimated tax on or before April 15 of
				the taxable year. Fiscal year taxpayers shall estimate their tax for the period
				covered by their fiscal year, and file a declaration of estimated tax on the 15th
				day of the fourth, sixth, or ninth month of their fiscal year or the first month
				after the end of their fiscal year.
				54A:8-4(d)  also
				divides the remainder of the taxable year into three periods. If during the period
				the individual becomes subject to the gross income tax, for example as a part-year
				resident, or it becomes apparent that the individual's (other than farmer's)
				personal income tax for the taxable year can reasonably be expected to be more than
				$ 400.00 in excess of any credits allowable against the individual's tax, a
				declaration of estimated tax must be filed on or before the due date for the period.
				The periods and due dates are as follows:
1. After
				April 1 and before June 2 of the taxable year: June 15;
2. After June 1 and before September 2: September
				15;
3. After September 1 of the taxable
				year; January 15 of the succeeding year.
Fiscal year taxpayers shall estimate their tax for the period
				  covered by their fiscal year, and file a declaration of estimated tax on the 15th
				  day of the fourth, sixth or ninth month of their fiscal year or the first month
				  after the end of their fiscal year.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 3 - ESTIMATED TAX › Section 18:35-3.2 - Failure to file declaration or underpayment of estimated tax

Current through Register Vol. 56, No. 14, July 15, 2024
(a) If any taxpayer
				fails to file a declaration of estimated tax or fails to pay all or any part of an
				installment of estimated tax, the taxpayer shall be deemed to have made an
				underpayment of estimated tax.
(b)
									54A:9-6(c)  imposes
				an addition to tax on an underpayment of any installment of estimated tax by an
				individual. The amount of the underpayment for any installment is the excess of the
				lesser of:
1. The amount of the installment which
				would be required to be paid if all installment payments were equal to 80 percent of
				the tax (two-thirds of the tax for farmers) shown on the return for the taxable
				year; or
2. One hundred percent of the
				tax shown on the return for the previous taxable year, over the amount, if any, of
				the installment paid on or before the last day prescribed for such
				installment.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 4 - CREDITS AGAINST TAX › Section 18:35-4.1 - Computation of credit for taxes paid to other jurisdictions

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The
				following provisions shall govern the computation of the tax credit by reason of any
				income or wage tax paid to another state or political subdivision of such state
				under the New Jersey Gross Income Tax Act (Act).
1.
										54A:4-1 provides for a credit against
				the New Jersey gross income tax as follows: Resident credit for tax of another
				state.
i. A resident taxpayer shall be allowed a
				credit against the tax otherwise due under this Act for the amount of any income tax
				or wage tax imposed for the taxable year by another state of the United States or
				political subdivision of such state, or by the District of Columbia, with respect to
				income which is also subject to tax under this Act, except as provided by (a)3
				below.
ii. The credit provided under
				this section shall not exceed the proportion of the tax otherwise due under this Act
				that the amount of the taxpayer's income subject to tax by the other jurisdiction
				bears to his or her entire New Jersey income.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 4 - CREDITS AGAINST TAX › Section 18:35-4.2 - Credit for excess contributions

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Credit for excess
				amounts deducted and withheld as worker contributions for unemployment insurance,
				disability insurance, family leave insurance, Workforce Development Partnership
				Fund, and Health Care Subsidy Fund shall be treated as follows:
1. Employers issuing a W-2 form to employees shall
				include on it:
i. The amount of New Jersey
				unemployment insurance contributions withheld;
ii. The amount withheld for New Jersey disability
				benefits fund contributions or for a private plan;
iii. The amount of New Jersey family leave
				insurance contributions withheld;
iv.
				The combined total amount withheld for Workforce Development Partnership Fund and
				Health Care Subsidy Fund contributions or, in the alternative, the separate amounts
				contributed to these funds;
v. The New
				Jersey unemployment number; and
vi. The
				New Jersey private plan number, if any.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 4 - CREDITS AGAINST TAX › Section 18:35-4.4 - Film tax credit

Current through Register Vol. 56, No. 14, July 15, 2024
(a) See N.J.A.C. 18:7-3B for rules that apply to
				the film production tax credit and transfer program pursuant to
				54A:4-12.
(b) The amount of credit allowed pursuant to this
				section shall be applied against the gross income tax after all other credits and
				payments. If the credit exceeds the amount of tax otherwise due, that amount of
				excess shall be an overpayment for the purposes of
				54A:9-7.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 5 - NEW JERSEY SOURCE INCOME OF NONRESIDENTS › Section 18:35-5.2 - Composite returns for nonresident partners

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A general
				partnership, a limited partnership, a limited liability partnership (LLP), a limited
				liability company (LLC), a New Jersey electing S corporation, an estate, a trust, or
				a professional athletic team (as defined in
				18:35-5.1 ) doing business or
				conducting activities in New Jersey, or having income derived from or connected with
				sources within New Jersey may file a composite New Jersey Nonresident Gross Income
				Tax Return (Form NJ-1080-C) on behalf of its qualified nonresident individual
				partners, members, shareholders, or beneficiaries, as the case may be, who elect to
				file such return.
1. Any entity which files a
				composite return on behalf of its qualified nonresident individual members shall be
				referred to as the filing entity.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 6 - EXTENSION OF TIME TO FILE; RETURN REQUIREMENTS › Section 18:35-6.1 - Extension of time to file New Jersey gross income tax return

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A taxpayer may
				obtain an extension of time to file the New Jersey gross income tax return Form
				NJ-1040 or Form NJ-1040NR for a period of six months and Form NJ-1041 for a period
				of five months beyond the original due date, providing that the requirements of (b)
				below are satisfied. Extensions beyond the previously stated five or six months from
				the original due date of the return will be granted only in cases where the Director
				determines that exceptional circumstances exist.
1.Exceptional circumstances can be demonstrated by
				establishing one of the following:
i. Medical
				evidence, such as a doctor's certification that the taxpayer is unable to file the
				return before the expiration of the extension period because of sickness or
				hospitalization;
ii. Proof that the
				taxpayer relied entirely on the advice and expertise of a tax preparer who failed to
				complete the return within the extension period; or
iii. Proof that, despite timely and diligent
				attempts, the taxpayer is unable to obtain or receive information from third parties
				which is necessary for the completion of the tax return.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 6 - EXTENSION OF TIME TO FILE; RETURN REQUIREMENTS › Section 18:35-6.2 - Combat zone; extension of time to file and pay

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Members of the Armed
				Forces of the United States and civilians providing support to the Armed Forces who
				are serving in a designated combat zone or were hospitalized outside the United
				States as a result of an injury received while serving in a combat zone are granted
				an extension of time for filing individual income tax returns and paying tax for the
				period of combat service or hospitalization, plus 180 days. This extension is also
				granted to such a taxpayer's spouse/civil union partner who files jointly. No
				penalty, interest, or addition to tax will be assessed for late filing or late
				payment of the tax pursuant to this subsection.
(b) Taxpayers who file individual income tax
				returns and pay gross income tax late should attach a statement to the return which
				indicates their qualification for the tax relief granted pursuant to (a) above. The
				Director may request supporting information.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 6 - EXTENSION OF TIME TO FILE; RETURN REQUIREMENTS › Section 18:35-6.3 - Signatures required on gross income tax return

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each return shall
				carry a signature by the taxpayer certifying that all statements contained therein
				are true, under the same penalties as for perjury committed.
(b) A taxpayer or tax return preparer who
				transmits an income tax return or other information required or permitted to be
				filed with the Division for purposes of the New Jersey Gross Income Tax Act, through
				electronic filing must satisfy the signature requirement in the manner prescribed by
				the Director.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.1 - Employee defined

Current through Register Vol. 56, No. 14, July 15, 2024
(a) For the purposes of
				18:35-7.2, the term "employee" means
				every individual performing services if the relationship between the individual and
				the person for whom he or she performs such services is the legal relationship of
				employer and employee. The term also includes officers and employees, whether
				elected or appointed, of the United States, a state, territory, Puerto Rico, or any
				political subdivision thereof, or the District of Columbia, or any agency or
				instrumentality of any one or more of the foregoing.
(b) When determining whether an individual is in
				an employer-employee relationship, relevant factors shall be considered, including
				the following:
1. The relationship which the
				parties believe they have created;
2.
				The extent of control exercisable by the person receiving the benefit of the
				services over the manner and method of performance. It is not necessary that the
				employer actually direct or control the manner of performance, but it is sufficient
				if he or she has the right to do so;
3.
				Whether the person rendering the service undertook substantial costs to perform the
				service;
4. Whether the service required
				special training or skill, and whether the person receiving the benefit of the
				services provided such special training;
5. The duration of the relationship between the
				parties;
6. Whether the person rendering
				the service had a risk of loss;
7.
				Whether the person who received the benefit of the services could discharge without
				cause the person who performed the services;
8. The method of payment, such as by time or by
				job;
9. Whether the person rendering
				services regularly performs the same services for other persons and is not protected
				to any degree from competition;
10.
				Whether the person for whom services are performed furnishes tools, equipment,
				support staff and a place to work to the individual rendering the
				services;
11. Whether the individual
				rendering the services is eligible for employer provided benefits such as pension,
				bonuses, paid vacation days and sick pay;
12. Whether the person receiving the benefits of
				the services rendered carries workmen's compensation insurance on the individual
				performing the services;
13. Whether the
				Internal Revenue Service determines that an individual performing services is an
				employee; and
14. Any other information
				deemed to be relevant by the Division.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.2 - Requirement of withholding from employees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Any employer that
				maintains an office or transacts business within this State, and that makes payment
				of any wages subject to New Jersey gross income tax to a resident or nonresident
				individual, shall deduct and withhold tax from such wages paid to each employee (as
				defined in 18:35-7.1 ) for each payroll
				period.
(b) The withholding of tax from
				the employee's wages must be in accordance with the instructions and methods
				prescribed by the current employer instruction booklet (Form NJ-WT).
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.3 - Quarterly filing of withholding returns; weekly payments; exceptions

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All employers who
				are required to deduct and withhold any amount of gross income tax are required to
				file a quarterly return with the Division of Taxation and pay the tax due therewith
				on or before the 30th day of the month following the quarter covered by the return.
				In calculating the amount of tax to be remitted to the Division for the quarterly
				period, the employer shall be entitled to a credit in the amount of tax remitted
				during the quarter covered by the quarterly return.
1. If no tax was withheld during a calendar
				quarter, a return is still required to be filed for such quarter.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.4 - Payment of contributions; wage and contribution reporting

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Pursuant to
				12:16-5.3(c), the New
				Jersey Department of Labor and Workforce Development requires that payment of
				contributions shall be by electronic means.
(b) Pursuant to
				12:16-13.7(e)7, the
				New Jersey Department of Labor and Workforce Development requires
that for all calendar quarters all employers and all third-party
				  payroll processors shall file Form WR-30, Employer Report of Wages Paid, and any
				  amendments to the Employer Report of Wages Paid, via electronic transmission in a
				  form and manner prescribed by the Division of Revenue, within the Department of the
				  Treasury, regardless of the number of employees reported.
(c) Pursuant to
				12:16-13.11(e)1, the
				New Jersey Department of Labor and Workforce Development requires that for all
				calendar quarters, all third-party payroll processors and all employers other than
				employers of domestic service workers shall file Form NJ-927, Employer's Quarterly
				Report and any amendments to the Employer's Quarterly Report, via electronic
				transmission in a form and manner prescribed by the Division of Revenue, within the
				Department of the Treasury.
(d) Pursuant
				to 12:16-13.11(e)2, the
				New Jersey Department of Labor and Workforce Development requires that for all
				calendar quarters, all employers of domestic service workers shall file Form
				NJ-927H, Domestic Employer's Annual Report and any amendments to the Domestic
				Employer's Annual Report via electronic transmission in a form and manner prescribed
				by the Division of Revenue, within the Department of the Treasury.
(e) Pursuant to
				12:16-13.11(e)3, all
				inquiries pertaining to a waiver of the electronic reporting requirements in (c) and
				(d) above, shall be directed to the Commissioner of the New Jersey Department of
				Labor and Workforce Development or his or her designee.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.5 - Summer payment plan

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Certain deferred payments, authorized under a
				so-called summer payment plan under
				18A:29-3, whereby an amount equal to
				10 percent of the employee's salary is withheld and paid to the participant in the
				plan at a later date are subject to gross income tax under
				54A:1-1 et seq., at the time withheld
				and not at the time paid, provided that a similar treatment is given under the
				Internal Revenue Code and regulations thereunder for Federal income tax purposes,
				subject to the following exception: if such similar treatment under Federal law is
				disallowed due to the civil union status of the employee, the employee shall
				nevertheless be allowed to receive the same State tax treatment as if the taxpayer
				were married.
(b)
									54A:8-3 provides that a taxpayer's
				accounting method for gross income tax purposes shall be the same as his or her
				accounting method for Federal income tax purposes. Therefore, if for Federal income
				tax purposes, an employee who participates in a summer payment plan is deemed to
				have received the salary at the time that the salary was withheld and placed into a
				deferred salary escrow fund, such income will also be deemed to have been received
				and subject to tax for New Jersey gross income tax purposes at that time. Such
				salary would not then be subject to New Jersey gross income tax when the employee
				receives a payment from the deferred salary escrow fund.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.6 - Gambling winnings subject to withholding

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Every payor of New
				Jersey gambling winnings which are subject to withholding, as defined in (d) below,
				shall deduct and withhold New Jersey gross income tax thereon in an amount equal to
				three percent of payments made to both New Jersey residents and nonresidents as
				defined in 54A:1-2(m) and (n).
				Such withholding shall be required in all instances wherein the payor of such
				winnings is required to withhold for Federal income tax purposes under subsection
				(q) of section 3402 of the Federal Internal Revenue Code of 1986 (
				26 U.S.C. §
										3402 ), as amended.
(b) The income tax withholding requirement imposed
				under 54A:7-1(c)  and this
				section shall not apply:
1. With respect to the
				payment of winnings on prize amounts from the New Jersey Lottery in amounts of $
				10,000 or less that are excluded from gross income pursuant to
				54A:6-11; and
2. With respect to a payment of winnings from a
				slot machine, or a keno or bingo game.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.7 - Filing of withholding returns by professional athletic teams

Current through Register Vol. 56, No. 14, July 15, 2024
Any professional athletic team (as defined by
				  18:35-5.1(b)1 ) which
				  pays compensation to a resident or nonresident individual for services rendered to
				  the team within New Jersey shall be deemed to be an employer and shall be required
				  to withhold New Jersey gross income tax from that portion of the compensation
				  attributable to duty days spent in New Jersey, as defined in
				  18:35-5.1(b)3.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.8 - Commuter transportation benefits reporting by employer

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Pursuant to
				54A:7-2, an employer shall provide an
				employee with a written statement as prescribed by the Director in (g) below showing
				the cost of commuter transportation benefits paid by the employer to the
				employee.
(b) Employer-provided commuter
				transportation benefits for using an alternate form of commuting (such as public
				transportation, carpools, etc.) are excluded from New Jersey gross income up to and
				including the limit per taxable year per employee. The limit per taxable year is as
				follows:
1. $ 2,760 for the taxable year beginning
				on and after January 1, 2010, but before January 1, 2011;
2. $ 2,760 for the taxable year beginning on and
				after January 1, 2011, but before January 1, 2012;
3. $ 2,880 for the taxable year beginning on and
				after January 1, 2012, but before January 1, 2013;
4. $ 2,940 for the taxable year beginning on and
				after January 1, 2013, but before January 1, 2014;
5. $ 3,000 for the taxable year beginning on and
				after January 1, 2014, but before January 1, 2015;
6. $ 3,000 for the taxable year beginning on and
				after January 1, 2015, but before January 1, 2016; and
7. The Director shall adjust the limit for
				inflation in parallel with the adjustment pursuant to I.R.C. § 132(f)(6), so
				that the taxable year limit pursuant to this paragraph is equal to 12 times the
				adjusted Federal monthly limit pursuant to I.R.C. § 132(f)(2)(A). Notice of the
				adjusted limit shall be published in the New Jersey Register.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.9 - Information of employer withholding from new employees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The New Jersey
				Economic Development Authority shall submit data to the Director of the Division of
				Taxation no later than April 1 of each year, for the preceding grant year, setting
				forth information regarding businesses applying for a grant under either the
				Business Employment Incentive Program Act or the Business Relocation Assistance Act
				(both referred to as "Act"). This information shall set forth the following relative
				to said business.
1. A list of the names, job
				titles and job locations of existing employees of said business not subject to a
				grant under the Act;
2. A list of the
				names and date hired and/or the date each new employee began employment at the
				project of said business in an eligible position for grant purposes under the Act,
				their base salary, overtime and bonuses paid, and the amount of New Jersey gross
				income tax withheld from each new employee and their city and state of
				residence;
3. The aggregate amount of
				payroll and withholdings for all employees in New Jersey;
4. The percentage and term of any grant pursuant
				to the Business Employment Incentive Program Agreement;
5. The amount of the grant to be disbursed to the
				business pursuant to the Business Relocation Assistance Act requiring the
				Treasurer's certification and the percentage upon which the grant is
				based;
6. The percentage and term of the
				grant to be disbursed to the business pursuant to the Business Employment Incentive
				Program Agreement requiring the Treasurer's certification;
7. A statement as to whether the applicant
				business has followed the criteria as set forth in guidelines promulgated by
				Economic Development Authority under the Act; and
8. A list of eligible positions that have been
				filled by persons who are rehired from a bona fide layoff or transferred from
				another company.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.10 - Treasurer's approval of a business to receive a grant from both the Business Employment Incentive Program Act and the Business Relocation Assistance Act

Current through Register Vol. 56, No. 14, July 15, 2024
(a) In determining
				whether to recommend the approval or disapproval of a business to receive a grant
				under both the Business Employment Incentive Program Act and the Business Relocation
				Assistance Act, the Treasurer shall consider the following criteria:
1. The number of eligible positions created for
				new employees and the expected duration of those positions;
2. The total number of existing employees of the
				business;
3. The type of contribution
				the business can make to the long term growth of the State's economy;
4. The total dollar investment the business is
				contributing to the project;
5. The type
				of industry that the business is involved in;
6. The location of the project;
7. The type of jobs to be created and the
				associated wages; and
8. Such other
				factors as are presented by a specific applicant.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 7 - WITHHOLDING AND REPORTING OF TAX › Section 18:35-7.11 - Domestic employees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Employers of domestic workers shall report and
				remit gross income tax withholding and unemployment and disability insurance for
				these employees on an annual basis on Form NJ-927H, the Employer's Annual
				Report.
(b) A domestic worker is
				considered to be an employee working in the private home of an employer; such
				domestic workers include, without limitation: a babysitter, nanny, health aide,
				nurse, maid or yard worker, etc.
(c)
				Employers of domestic workers must file the Employer Report of Wages Paid (Form
				WR-30) on an annual basis. For the calendar year ending December 31, the report is
				due January 31 following the closing of the calendar year.
(d) The following concern taxpayer identification
				numbers:
1. Employers having both domestic
				employees and business employees shall have two separate taxpayer identification
				numbers--one for domestic employees and the other for business employees. Such
				employers file Form NJ-927H for their domestic employees and Form NJ-927 for their
				business employees.
2. If the employer
				is a sole proprietor and files under one taxpayer identification number, the
				employer is permitted to combine both the domestic employees and the business
				employees on Form NJ-927 and file it quarterly.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 8 - INFORMATION RETURNS › Section 18:35-8.1 - Information furnished at source

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Under
				54A:1-1 et seq., information returns
				which shall include the amounts paid to or credited to the accounts of all
				recipients for any calendar year are required to be provided to the Director, New
				Jersey Division of Taxation, by:
1. Payers of
				interest and dividends, including banks, savings and loan associations, building and
				loan associations, and savings banks; and
2. All payers including those who are required to
				file Federal Form 1099 or any of the form 1099 designations, which shall include
				lessees or mortgagors of real or personal property, fiduciaries, employers, and all
				officers and employees of this State, or of any municipal corporation or political
				subdivision of this State, having the control, receipt, custody, disposal, or
				payment of interest, rents, salaries, wages, premiums, annuities, compensations,
				remunerations, emoluments, or other fixed or determinable gains, profits, or income,
				except interest coupons payable to bearer.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 9 - INTEREST AND PENALTIES › Section 18:35-9.1 - Negligence and fraud penalties

Current through Register Vol. 56, No. 14, July 15, 2024
(a) If any part of a
				deficiency is due to the taxpayer's negligence or an intentional disregard of any
				provision of the Gross Income Tax Act (54A:1-1 et seq.) or the
				rules applicable thereto, there shall be added to the tax, penalties and interest as
				provided for in the State Tax Uniform Procedure Law,
				54:48-1 et seq., plus an amount equal
				to 10 percent of the deficiency, if there was no intent to defraud.
(b) If a deficiency is assessed against a taxpayer
				and it is determined that any part of such assessment is due to civil fraud, there
				shall be added to the tax an amount equal to 50 percent of the assessment. This
				addition to the tax shall be in lieu of any other additions to the tax imposed for
				late filing and nonpayment of special assessment as provided for in
				54:49-9.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 9 - INTEREST AND PENALTIES › Section 18:35-9.2 - Interest on overpayments

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The Division will pay interest on an
				overpayment of gross income tax which has not been refunded six months and one day
				after the later of:
1. The last date for filing a
				gross income tax return as prescribed by statute or permitted by an approved
				application for extension of time to file; or
2. The date the return, whether original or
				amended, requesting the refund is actually filed.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 10 - SETOFF OF INDIVIDUAL LIABILITY › Section 18:35-10.1 - Purpose

Current through Register Vol. 56, No. 14, July 15, 2024
The purpose of this subchapter is to establish a policy and to
				  provide a system whereby any claimant agency or institution of the State of New
				  Jersey in conjunction with the Division of Taxation shall cooperate in identifying
				  debtors who owe money to the State through its various agencies or institutions and
				  who shall be entitled to any refund of gross income taxes or to a homestead rebate
				  from the Division of Taxation. It is also the intent of this subchapter to establish
				  procedures for setting off against any such refund or rebate, the sum of any debt
				  owed to the State. The procedures contained in this subchapter are designed to
				  comply with 54:50-8 and
				  54:50-9, the confidentiality provisions
				  of the State Tax Uniform Procedure Law. They also afford the taxpayer opportunity to
				  assert any other legal rights he or she may have prior to final
				  setoff.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 10 - SETOFF OF INDIVIDUAL LIABILITY › Section 18:35-10.2 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
"Claimant agency or institution" means and includes any agency or
				  institution of the State Government.
"Consolidated debtor file" means the consolidated listing of all
				  debts owed the State as derived from the debtor files of each participating State
				  agency.
"Debt" means any liquidated sum due and owing any claimant agency
				  which has accrued through contract, subrogation, tort, operation of law, or any
				  other legal theory regardless of whether there is an outstanding judgment for that
				  sum.
"Debtor" means any individual owing money to or having a
				  delinquent account with any claimant agency or institution which obligation has not
				  been adjudicated satisfied by court order, set aside by court order, or discharged
				  in bankruptcy.
"Debtor file" means a list of liquidated accounts for which the
				  claimant agency has exhausted its collection methods. A minimum of $ 25.00 for total
				  debts per individual per claimant agency or institution will be established. This
				  threshold amount is subject to change in future years by the Division of Taxation
				  based upon experience. Accounts involving more than one debtor must be broken down
				  individually, and the debt allocated to each individual by a claimant agency. The
				  list must be supplied by secure electronic transfer file or other input media as
				  approved by the Division of Taxation and contain such information as the Division
				  may require in order to setoff with the beginning of the refund cycle in February.
				  One update of this file will be permitted per agency prior to the homestead rebate
				  cycle in June.
"Division" means the New Jersey Division of Taxation, Department
				  of Treasury.
"Net proceeds collected" means gross proceeds collected through
				  final setoff against a debtor's refund or rebate minus any collection fee charged by
				  the Division to provide for any expenses of the collection effort.
"Rebate" means a homestead property tax rebate or credit pursuant
				  to N.J.S.A. 54:4-8.5 7 et seq.
"Refund" means a refund of an overpayment of taxes paid pursuant
				  to the New Jersey Gross Income Tax Act,
				  54A:1-1 et seq.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 10 - SETOFF OF INDIVIDUAL LIABILITY › Section 18:35-10.3 - Procedure for setoff

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A claimant agency
				seeking to attempt collection of a debt through setoff shall notify the Division in
				writing and supply the Division with a debtor file containing information necessary
				to identify the debtor whose refund or rebate is sought to be setoff. Notification
				to the Division and the furnishing of identifying information must occur on or
				before a date specified by the Division.
(b) With prior approval of the Division, the
				debtor file may also contain liquidated debt information for every alleged debtor
				listed on the file, provided that the debtor file is accompanied by a certification
				of all debts listed on the debtor file.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 10 - SETOFF OF INDIVIDUAL LIABILITY › Section 18:35-10.4 - Matching

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Upon timely receipt of notifications and
				debtor files from participating claimant agencies, the Division will make continual
				comparisons of the consolidated debtor file with the refund file and with the rebate
				file. A complete match will result from a matching of two sets of identification
				information. A complete match affects the gross income tax and homestead rebate
				systems by placing a hold code in the taxpayer's account, which prevents a refund or
				rebate from being sent out until initial certification.
(b) A partial match occurs from an incomplete
				match of the identification information used, and it results in the placing of the
				taxpayer's account on a contingent hold status for 15 days. During that period the
				Division and the claimant agency may make a review of the relevant identification
				information to determine if the incomplete match is the result of a clerical,
				transcription, or other error. If that is the case, the contingent hold code is
				removed, the account is placed on hold, and is treated as a complete match. If a
				reconciliation of the identification information cannot be made, the account is
				returned to the claimant agency or institution for investigation, and the
				refund/rebate check is released to the taxpayer. The claimant agency may resubmit
				the account at such time of updating the debtor file as the Division may
				direct.
(c) When a taxpayer requests a
				refund or rebate and that taxpayer has been identified through a complete match as
				an alleged debtor to a claimant agency, the Division does not have liquidated debt
				information on the debtor file, a three-part card or electronic data file will be
				sent to the claimant agency. Return of the proper card(s) to the Division would
				certify the accuracy of the liquidated debt, advise whether the amount had been
				subsequently paid, and/or advise whether or not the debtor has requested a hearing
				or appeal in the matter.
(d) When a
				taxpayer requests a refund or rebate and that taxpayer has been identified through a
				complete match as an alleged debtor to a claimant agency, and the Division has
				liquidated debt information on the debtor file, the Division will generate a notice
				to the taxpayer in accordance with
				18:35-10.5 and will also generate a
				two-part card or electronic data file to the agency. Return of the proper card(s) to
				the Division would advise whether the amount has been subsequently paid, and/or
				advise whether or not the debtor has requested a hearing or appeal in the
				matter.
New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 35 - NEW JERSEY GROSS INCOME TAX › Subchapter 10 - SETOFF OF INDIVIDUAL LIABILITY › Section 18:35-10.5 - Notice to taxpayer

Current through Register Vol. 56, No. 14, July 15, 2024
Within 10 days after identification of a potential refund or
				  rebate due the taxpayer and receipt of certified liquidated debt information from
				  the claimant agency, whichever is later, the Division shall notify the alleged
				  debtor of the proposed setoff and inform the alleged debtor of the right to make a
				  timely request to the claimant agency for administrative resolution or for a hearing
				  on the alleged debt and the proposed setoff.