New Jersey State Tax Extension

nj

An extension of time is granted only to file a New Jersey gross income tax return. There is no extension of time to pay tax due. Penalties and interest are imposed whenever tax is paid after the original due date. To be eligible for an extension you must have paid at least 80% of the tax liability computed on the New Jersey gross income tax return when filed. The 80% can be paid through withholdings, estimated payments, or a payment made with the extension application by the original due date. If the 80% requirement is not met, the extension will be retroactively denied and penalty and interest will be imposed from the original due date of the return.

The State of New Jersey will automatically grant your business a 6-month tax extension (5 months for estates and trusts) when you file Form CBT-200-T (Corporation Business Tax Tentative Return and Application for Extension of Time to File) by the original filing due date. If you owe tax, you will need to pay at least 80% of the amount due by the original filing deadline. Tax payments can be made online with the NJ Division of Revenue's "Electronic Funds Transfer Program" or by mailing your payment with Form CBT-100-V (Corporation Business Tax Payment Voucher).

Extension of Time to file return/instructions for Form CBT-200T:

(a) AUTOMATIC EXTENSION: Where a tentative return, Form CBT-200-T, and tax payment are timely and properly filed, it is the policy of the Division of Taxation to grant an extension of no more than six (6) months for filing the CBT-100.
The return must include the computation of tax liabilities on lines 1 and 2 and, if applicable, the Key Corporation AMA payment on line 3, and the Tentative Professional Fees on lines 5 and 6. Submit the completed CBT-200-T with payment of the total amount due as reflected on line 8. The tentative return must be postmarked on or before the original due date of the tax return.

(b) Where a request for extension is duly made, it will be granted by the Division. Approved extensions will not be confirmed in writing.

(c) MINIMUM TAX: The minimum tax is assessed based on the New Jersey Gross Receipts as follows:
New Jersey Gross Receipts Minimum Tax
Less than $100,000 $500
$100,000 or more but less than $250,000 $750
$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

provided however that for a taxpayer that is a member of an affiliated or controlled group (as per sections 1504 or 1563 of the Internal Revenue Code of 1986) which has a total payroll of $5,000,000 or more for the return period, the minimum tax shall be $2,000. Tax periods of less than 12 months are subject to the higher minimum tax if the prorated total payroll exceeds $416,667 per month. Total payroll refers to the total payroll of the affiliated group rather than total New Jersey payroll of a single corporation. Taxpayers that are members of an affiliated or controlled group must submit a schedule of payroll per member and a copy of the taxpayer's federal affiliations schedule, Form 851, with the return. Refer to Schedule A-GR for the determination of New Jersey gross receipts. The minimum tax cannot be prorated. Zero (0) returns are not permitted.

(d) INSTALLMENT PAYMENT: Any taxpayer with a tax liability of $500 on line 1, may make a payment of 50% of line 1 in lieu of making the installment payments otherwise required. Taxpayers that report a tax liability greater than $500 on line 1 should not make an entry on line 2 and are required to make installment payments of estimated tax indicated in instruction 45. Any taxpayer with Professional Corporation Fee liabilities at line 5 must report and remit an installment payment of 50% of line 5.

The extension request, Form CBT-200-T, must be postmarked on or before the original due date of the tax return in order to obtain an automatic six month extension. Taxpayers may remit the related payment using the Electronic Funds Transfer Program, however, they must file the CBT-200-T. All taxpayers must mail the completed form and related payment, if applicable, to the address indicated on the front of the form when requesting an extension of time to file their tax return.

The CBT-100-V and the CBT-200-T forms cannot be used by Partnerships to make payments or request extensions for the Partnership Return. The PART-100 and PART-200-T forms must be used in connection with NJ-1065 filings.

What are the Payments Options available?

Echeck, Electronic Funds Transfer (EFT) and Credit Card Payment.

You may pay your New Jersey Corporation Business taxes and estimated taxes electronically by e-check or electronic funds transfer (EFT) or by credit card. Go to the Division of Taxation's website at http://www.state.nj.us/treasury/taxation/ and select "File/Pay". Taxpayers who do not have access to the Internet may call the Division's Customer Service Center at 609-292-6400.

Special Note:

To pay by credit card visit the Division's website at www.state.nj.us/treasury/taxation/ and select electronic services. If you pay by credit card, do not return the remittance document. If you are not currently enrolled in the Electronic Funds Transfer program with the Division of Revenue, visit their website at: http://www.state.nj.us/treasury/revenue/enrolleft.shtml

Do not use the CBT-100-V or CBT-150 payment voucher if using one of the above methods for payment. The CBT-200-T return must be submitted no matter what method of payment is used.

Why should I use ExpressExtension?

ExpressExtension has an experienced and competent team to meet all your individual and business tax solutions. We provide a complete and easy solution to all your tax needs.

When should I file NJ-630 application?

  • You are applying for an extension of time to file a New Jersey gross income tax return but you are not applying for a federal extension; or
  • You are applying for both a federal and a New Jersey extension and are required to remit payment to the New Jersey Division of Taxation by the original due date of the return in order to have at least 80% of your actual tax liability (as computed on your New Jersey gross income tax return when filed) paid.

When I need not submit this NJ-630 application?

  • You have paid at least 80% of your final tax liability by the original due date, and
  • You have applied for an automatic extension of time to file for federal purposes and you enclose a copy of the federal Application for Automatic Extension with the final New Jersey return when filed. The application for extension of time to file a New Jersey gross income tax return (Form NJ-630) must be filed (postmarked) no later than the original due date of the return.
Extension requests may also be filed online until 11:59 p.m. on April 18, 2016, at: http://www.state.nj.us/treasury/taxation/

If you are required to make a payment with your online extension application, the payment must be made by e-check or credit card.

Before filing Form NJ-630 be sure to:

  • Detach at perforation,
  • Fill out all requested information on the application, including your social security number (FEIN if estate or trust),
  • Make your check or money order payable to "STATE OF NEW JERSEY—TGI,"
  • Write your social security number (FEIN if estate or trust) and the tax year on your check, and
  • Mail the application with your payment to the address on the face of the application.

What are the penalties and Interest ?

If the final return is not received by the extended due date, the computation of penalty and interest charges will be made as if the extension had not been granted. The penalty and interest charges for returns filed late and/or tax paid late are:
  • Late filing penalties of:
  • a. 5% per month (or fraction of a month), up to a maximum of 25% of the balance of tax due with the return.
    b. $100 per month (or fraction of a month) that the return is late.

  • Late payment penalty of 5% of any tax balance due.
  • Interest at the rate of 3 percentage points above the prime rate for every month (or fraction of a month) the tax is unpaid, compounded annually. At the end of each calendar year, any tax, penalties, and interest remaining due will become part of the balance on which interest is charged.

Why should I use ExpressExtension?

ExpressExtension has an experienced and competent team to meet all your individual and business tax solutions. We provide a complete and easy solution to all your tax needs.