Sponsored by:
Assemblyman BRIAN BERGEN
District 25 (Morris and Somerset)
SYNOPSIS
Permits taxpayer to file or make gross income tax, corporation business tax, or sales and use tax return or payment by July 31, 2020 without penalty.
CURRENT VERSION OF TEXT
As introduced.
An Act extending the duration to file or make certain State tax returns or payments.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. A taxpayer required to make and file an annual or quarterly return, report, or payment, including installments for estimated taxes, pursuant to the “New Jersey Gross Income Tax Act,” N.J.S.54A:1-1 et seq. or the “Corporation Business Tax Act (1945)” P.L.1945, c.162 (C.54:10A-1 et seq.) on or before April 15, 2020 shall receive an extension to file those returns or reports and make those payments, without the assessment of penalties or interest, by July 31, 2020.
b. Notwithstanding sections 17 and 18 of P.L.1966, c.30 (C.54:32B-17 and C.54:32B-18), or any other provision of law to the contrary, every person required to collect and pay tax and file a return under the “Sales and Use Tax Act,” P.L.1966, c.30 (C.54:32B-1 et seq.) shall receive an extension to file or make such returns or payments, without the assessment of penalties or interest, by July 31, 2020.
2. This act shall take effect immediately.
STATEMENT
This bill allow taxpayers to file or make a gross income tax or corporation business tax return, report, or payment, including installments for estimated taxes, by July 31, 2020, without the assessment of penalties or interest. The bill also permits a taxpayer to file a return or remit sales and use tax collections by July 31, 2020, without the assessment of penalties or interest.
According to the Department of the Treasury’s website, the late filing penalty is five percent of the tax due for each month (or part of a month) a return is late. The maximum penalty for late filing is 25 percent of the balance due. The Division of Taxation may also charge a penalty of $100 for each month the return is late.
This bill would provide relief to taxpayers impacted by the COVID-19 (Novel Coronavirus) pandemic who may not have the ability to file their returns or make payments within the time period provided by law.