New Jersey Launches Combined Reporting Initiative
From June 15 to Oct. 15, 2021, the New Jersey Division of Taxation will waive penalties for qualified companies that pay back Corporation Business Taxes for certain years that they had nexus with New Jersey but failed to file as a separate entity.
The Combined Reporting Initiative is available to companies taxed as corporations that are members of a combined group with nexus to New Jersey prior to 2019. If a company qualifies and participates in the initiative, the look-back period is limited to periods ending after June 30, 2016, or the date nexus was established, whichever is later. The Division will not require returns for prior periods.
Companies that fail to participate could be subject to penalties, interest and taxes covering periods prior to 2016.