N.J. Admin. Code § 18:7-3.4
Current through Register Vol. 56, No. 8, April 15, 2024
Section 18:7-3.4 - Minimum tax of separate return filers(a) The tax paid in the case of an investment company, a regulated investment company, or real estate investment trust shall not be less than $ 250.00; provided, however, for calendar year 2002 and thereafter, the minimum tax shall be $ 500.00, unless the taxpayer is a member of an affiliated group or a controlled group pursuant to I.R.C. §§ 1504 or 1563, and whose group has total payroll of $ 5,000,000, or more, for the privilege period, the minimum tax shall be $ 2,000. The minimum tax for other corporations (filing separate returns) is set forth at (b) through (d) below.(b) For accounting or privilege periods beginning in calendar year 2012 and thereafter the minimum tax for corporations that are not New Jersey S corporations shall be based on the New Jersey gross receipts, as defined for the purposes of this subsection pursuant to N.J.S.A. 54:10A-5a and N.J.A.C. 18:7-18.1, of the taxpayer pursuant to the following schedule: | New Jersey Gross Receipts: | Minimum Tax: |
| Less than $ 100,000 | $ 500.00 |
| $ 100,000 or more but less than $ 250,000 | $ 750.00 |
| $ 250,000 or more but less than $ 500,000 | $ 1,000 |
| $ 500,000 or more but less than $ 1,000,000 | $ 1,500 |
| $ 1,000,000 or more | $ 2,000 |
1. For accounting or privilege periods beginning in calendar year 2002 and thereafter, a taxpayer that is a member of an affiliated group or a controlled group pursuant to I.R.C. § 1504 or 1563, and whose group has total payroll of $ 5,000,000 or more for the privilege period, the minimum tax shall be $ 2,000 for the accounting or privilege period. If the related corporations do not have the same fiscal years, the overlapping portion shall be placed upon the equivalent fiscal basis to arrive at the threshold amount.(c) For privilege periods beginning in calendar year 2012 and thereafter the minimum tax for corporations that are New Jersey S corporations shall be based on the New Jersey gross receipts of the taxpayer, as defined for the purposes of this subsection pursuant to 54:10A-5a and N.J.A.C. 18:7-18.1, pursuant to the following schedule: | New Jersey Gross Receipts: | Minimum Tax: |
| Less than $ 100,000 | $ 375.00 |
| $ 100,000 or more but less than $ 250,000 | $ 562.50 |
| $ 250,000 or more but less than $ 500,000 | $ 750.00 |
| $ 500,000 or more but less than $ 1,000,000 | $ 1,125 |
| $ 1,000,000 or more | $ 1,500 |
(d) If a taxpayer is part of a group of taxpayers in which the tax liability of the group is reflected on a single return of a member of the group, the other members of the group are required also to file returns with New Jersey. Such returns shall reflect the minimum tax. Entities required to file minimum returns under this subsection include, without limitation thereto, qualified New Jersey Subchapter S subsidiaries, members of a casino consolidated group, and members of a combined group required to file a consolidated return by the Director pursuant to N.J.S.A. 54:10A-10.c.(e) For information regarding the statutory minimum tax of taxable members of a combined group filing a New Jersey combined return, see N.J.A.C. 18:7-21.N.J. Admin. Code § 18:7-3.4
Amended by 49 N.J.R. 1694(a), effective 6/19/2017Amended by 54 N.J.R. 1819(a), effective 9/19/2022