New Jersey just implemented the 2018 New Jersey Tax Amnesty Program. During the period that begins November 15, 2018, and ends January 15, 2019, taxpayers have an opportunity to file past due tax returns and/or pay back taxes along with one-half of the interest due and no penalties.
The NJ Tax Amnesty Program applies only to outstanding returns and/or taxes that are reportable on a tax return and due on or after February 1, 2009, and prior to September 1, 2017. All required tax returns and tax amnesty payments must be received by 11:59 p.m. on January 15, 2019. If a tax return and payment are mailed, they must be postmarked by January 15, 2019.
Eligible taxes include those taxes administered and collected by the New Jersey Division of Taxation. Eligible taxes include personal income tax, inheritance and estate taxes, sales and use tax, corporation business tax, as well as many others. Eligible taxes do not include local real property taxes or payroll taxes owed to the New Jersey Department of Labor.
If a taxpayer does not take advantage of tax amnesty or if any tax return or payment is received after January 15, 2019, the amnesty will not apply and New Jersey may reinstate full interest, penalties, and collection fees. A 5% amnesty penalty will also be imposed on all outstanding balances covered by the eligible period. The amnesty penalty cannot be waived or abated.
Taxpayers can visit the NJ Tax Amnesty website in order to review the amnesty eligibility requirements, view outstanding taxes due, file the required tax return(s), if applicable, and pay the amnesty amount due.
The NJ Division of Taxation is sending notices to those taxpayers that may owe taxes and/or may need to file a tax return for amnesty eligible periods. The notice includes an Amnesty ID and PIN, which the taxpayer will need to log into the website. If a taxpayer does not receive a notice from the NJ Division of Taxation but the taxpayer knows that he or she owes taxes and/or needs to file a delinquent tax return, there is a “non-outreach portal” on the amnesty website that the taxpayer can use to pay back taxes and/or file delinquent returns.
Taxpayers owing back taxes and/or delinquent returns to the NJ Division of Taxation should immediately take advantage of the 2018 NJ Tax Amnesty Program.
If you have any questions about this post or other tax issues, please contact me at mdslak@norris-law.com.