New Jersey Launches 2018 Tax Amnesty Program
Various states occasionally offer limited programs to encourage taxpayer compliance on prior years. These programs are often referred to as “Amnesty”. The New Jersey Division of Taxation has recently announced an amnesty program that appears to be taxpayer-friendly.
2018 New Jersey Tax Amnesty Period
The New Jersey state tax amnesty program runs from November 15, 2018 until January 15, 2019. During this amnesty period, participating taxpayers will receive a waiver of all penalties and fifty percent of the interest that otherwise is due.
New Jersey Tax Amnesty Eligibility
The amnesty program is available for state tax liabilities for returns due on or after February 1, 2009 and before September 1, 2017. The state tax liabilities eligible for the program include corporation business tax, individual income tax, and sales/use tax. During the amnesty program, taxpayers may pay outstanding eligible liabilities that are due as of November 1, 2018 and avoid payment of New Jersey’s various penalties and one-half of the interest that is due.
It is noteworthy that taxpayers who are eligible to participate in the amnesty program, but who do not, will be subject to an additional penalty of five percent of the outstanding taxes that are due. The Division of Taxation reports the amnesty penalty cannot be waived or abated.
Additional State and Local Tax Resources:
The information contained within this article is provided for informational purposes only and is current as of the date published. Online readers are advised not to act upon this information without seeking the service of a professional accountant, as this article is not a substitute for obtaining accounting, tax, or financial advice from a professional accountant.