New Jersey Administrative Code › Title 19 - OTHER AGENCIES › NEW JERSEY ECONOMIC DEVELOPMENT AUTHORITY › Chapter 31Q - GROW NEW JERSEY ASSISTANCE PROGRAM › Subchapter 1 - GROW NEW JERSEY ASSISTANCE PROGRAM › Section 19:31Q-1.9 - Tax credit amount; application and allocation of the tax credit

Current through Register Vol. 56, No. 14, July 15, 2024
(a) For each tax accounting or privilege period during the
					 eligibility period, a business may apply the amount of tax credits equal to the
					 total credit amount divided by the duration of the eligibility period in years
					 (fractions of a cent rounded down) subject to the provisions of the Act and
					 this subchapter.
(b) The business may apply the credit against the tax
					 liability otherwise due pursuant to section 5 at P.L. 1945, c. 162
					 (N.J.S.A.
					 54:10A-5), pursuant to sections 2 and 3 at
					 P.L. 1945, c. 132 (N.J.S.A. 54:18A-2 and
					 54:18A-3), pursuant to section 1
					 of P.L. 1950, c. 231 (N.J.S.A. 17:32-15),
					 or pursuant to
					 N.J.S.A.
					 17B:23-5. The credit awarded to the business
					 using one or more affiliates to satisfy the employment and/or capital
					 investment requirements of the program shall be applied on the basis of the
					 allocation(s) submitted pursuant to the application, provided, however, that
					 any affiliate that receives an allocation must have contributed either capital
					 investments to the business facility or employees at the business facility
					 during the tax period for which the tax credits are issued.
(c) The credit amount may be taken by the tax certificate
					 holder for the tax period for which it was issued or may be carried forward for
					 use by the tax certificate holder in any of the next 20 successive tax periods,
					 and shall expire thereafter. The tax certificate holder may transfer the tax
					 credit amount on or after the date of issuance or at any time within three
					 years of the date of issuance for use by the transferee in the tax period
					 during which it was transferred or in any of the next three successive tax
					 periods. Notwithstanding the foregoing, no more than the amount of tax credits
					 equal to the total credit amount divided by the duration of the eligibility
					 period in years may be taken in any tax period.
(d) Credits granted to a partnership shall be passed
					 through to the partners, members, or owners, respectively, pro-rata or pursuant
					 to an executed agreement among the partners, members, or owners documenting an
					 alternate distribution method provided to the Director of the Division of
					 Taxation in the Department of the Treasury accompanied by any additional
					 information as the Director may require.
(e) In connection with a regional distribution facility of
					 foodstuffs, the business entity or entities may distribute credits to members,
					 shareholders, partners, or other ownership or leasing participants in
					 accordance with their respective interests. If the business entity or entities
					 or their members, shareholders, partners, or other ownership or leasing
					 participants lease space in the facility to members, shareholders, partners, or
					 other ownership or leasing participants or others as tenants in the facility,
					 the leases shall be treated as a lease to an affiliate, and the business entity
					 or entities shall not be subject to forfeiture of the credits. For the purposes
					 of this subsection, leasing shall include subleasing and tenants shall include
					 subtenants.