N.J. Admin. Code § 18:7-20.3

Current through Register Vol. 56, No. 16, August 19, 2024

Section 18:7-20.3 - Retroactive New Jersey S corporation elections

(a) A taxpayer that is authorized to do business in New Jersey, is registered with the Division of Taxation, and has filed Form NJ-CBT-100S tax returns with New Jersey but has failed to file a timely New Jersey S corporation election may file a retroactive election to be recognized as a New Jersey S corporation.

(b) An administrative user fee of $ 100.00 shall be included with a taxpayer's filing of its retroactive New Jersey S corporation election Form NJ-2553R, for each tax year that will be affected by the late filing.

(c) A retroactive New Jersey S corporation or Qualified Subchapter S Subsidiary election will not be granted if:

1. All appropriate corporation business tax returns have not been timely filed and taxes timely paid as if the New Jersey S corporation election request had been previously approved;

2. A New Jersey S corporation request is not received before an assessment becomes final;

3. The Division of Taxation has issued a notice denying a previous late filed New Jersey S election request, and the taxpayer has not protested the denial within 90 days; or

4. All shareholders have not filed appropriate tax returns and paid tax in full when due as if the New Jersey S corporation election request had been previously approved, and the taxpayers have not reported the appropriate S corporation income on their returns.

N.J. Admin. Code § 18:7-20.3

Amended by 49 N.J.R. 1694(a), effective 6/19/2017