N.J. Admin. Code § 18:35-11.3

Current through Register Vol. 56, No. 11, June 3, 2024

Section 18:35-11.3 - Annual return; payment of tax or fee due; extensions of time to file tentative return; estimated payment

(a) A partnership having a resident New Jersey owner of an interest in the entity or having any income derived from New Jersey sources is required to file a partnership return Form NJ-1065 on or before the 15th day of the fourth month after the end of the tax year. See 18:35-1.3.

(b) Any partnership having a liability for a filing fee payment pursuant to 54A:8-6 or having tax due pursuant to 54:10A-15.1 1 must file Form PART-100, Partnership Return Voucher, and Form NJ-1065. The applicable payment must accompany Form PART-100. Form PART-100 must be postmarked on or before the original due date for the return.

(c) A partnership may obtain an extension of time to file the New Jersey Partnership Return (Form NJ-1065) for a period of five months beyond the original due date, providing that the requirements of (c)1 below are satisfied. Extensions beyond five months from the original due date of the return will be granted only in cases where the Director determines that exceptional circumstances exist. This subsection provides the authority for an extension of time to file and is not to be considered an extension of time to pay the filing fee and/or tax due. A partnership's liability is due, in full, by the original due date of the return. The partnership is subject to interest and late filing penalty as described in (c)5 below if the full amount is not paid by the original due date of the return.

1. A five-month extension of time to file a New Jersey Partnership Return will be granted only if, by the original due date of the return, the partnership has paid in, either through tiered partnership payments, installment payment, estimated payments, or a payment made with the Partnership Tentative Return and Application for Extension of Time to File, at least 80 percent of the filing fee and/or tax due computed on the New Jersey Form PART-100, Partnership Return Voucher when filed and:

i. The partnership obtains a valid five-month extension for Federal income tax purposes and attaches a copy of the application for automatic Federal extension (Federal Form 7004) to the final New Jersey Partnership Return when filed; or

ii. If no Federal extension is requested, the partnership completes and submits Federal Form 7004 by the original due date of the return.

2. A partnership shall file Form PART-200-T, Partnership Tentative Return and Application for Extension of Time to File New Jersey, only if the partnership is required to remit payment to the Division of Taxation by the original due date of the return in order to meet the 80 percent requirement of (c)1 above.

3. Failure to satisfy either the 80 percent payment requirement of (c)1 above by the original due date of the return, or to file the Partnership Return by the extended due date, will result in the retroactive denial for the extension as of the original due date of the return. In those cases, the partnership will be subject to interest, late filing penalties and late payment penalties from the original due date of the return, as described in (c)4 and 5 below.

4. A partnership that has not satisfied the 80 percent payment requirement of (c)1 above, or fails to file the Partnership Return by the extended due date, will be subject to the following late filing penalties, which shall be imposed on the first day following the original due date of the return and on the same calendar day of each succeeding month thereafter:

i. $ 100.00 per month or any fraction of a month that the return is delinquent;

ii. Five percent per month or any fraction of a month that the return is delinquent, up to a maximum of 25 percent of the balance of any filing fee and/or tax due with the return; and

iii. Interest on the unpaid filing fee and/or tax calculated at three percentage points above the prime rate. Interest is imposed for each month (or a fraction thereof) on the unpaid balance of filing fee and/or tax due. At the end of each calendar year, all filing fee and/or tax, penalties, and interest remaining due become part of the unpaid balance on which interest will be charged.

5. A partnership that makes a payment of fee and/or tax after the original due date of the return, with or without an extension of time to file, is subject to the following late payment penalty and interest payments:

i. A five percent penalty for late payment of any filing fee and/or tax balance; and

ii. Interest on the unpaid filing fee and/or tax calculated at three percentage points above the prime rate. Interest is imposed for each month (or a fraction thereof) on the unpaid balance of filing fee and/or tax due. At the end of each calendar year, all filing fee and/or tax, penalties, and interest remaining due become part of the unpaid balance on which interest will be charged.

(d) A partnership seeking an extension of time to file Form NJ-1065 may file a copy of its application for a Federal extension with its New Jersey return. The box at the top of Form NJ-1065 labeled "Application for Federal Extension is attached" shall be checked. If a Federal extension has not been obtained, a request for a State extension must be made by filing Federal Form 7004 with the Division of Revenue and Enterprise Services on or before the original due date of the State return. In addition, any partnership that has a filing fee and/or tax due must file Form PART-200-T, Partnership Tentative Return and Application for Extension of Time to File. The applicable payment must accompany this Form. Form PART-200-T must be postmarked on or before the original due date of the return. An extension of time to file Form NJ-1065 does not extend the time to pay the filing fee and/or tax due. It also does not extend the time for filing the tax return or returns of the partners.

N.J. Admin. Code § 18:35-11.3

Amended by 48 N.J.R. 295(a), effective 2/16/2016