NJCPA Task Force Working to Clean Up New Combined Reporting Law
By Jeffrey Kaszerman, NJCPA Government Relations Director –
August 8, 2018
When the New Jersey legislature passed a comprehensive corporation business tax bill on the last day of the budget session, it included provisions requiring combined reporting for corporations with subsidiaries in other states.
The NJCPA as well as other business groups were surprised to see these provisions in the legislation, which was signed into law the same day by Governor Murphy. Legislative leaders had indicated that they would wait until after enactment of the state budget before moving on combined reporting.
Combined reporting is a complicated issue and needs to be carefully written to ensure it’s easy to comply with. That’s why the NJCPA had asked lawmakers to hold off on moving a bill during budget session, which is usually marked by frantic introduction of budget bills and intense negotiation among lawmakers.
Due to the haste in which the law was drafted, it contains numerous inconsistencies and would be almost impossible to comply with. Fortunately, the governor and the legislature realize this and have pledged to “clean up” the law.
The NJCPA Combined Reporting Task Force has submitted to key legislators recommendations to fix the combined reporting law. It is hopeful that clean up legislation will be introduced shortly and enacted into law by the end of the year.
Members of the Combined Reporting Task Force:
- Karen A. Artasanchez , CPA - Wilkin & Guttenplan, P.C.
- Hardeo Bissoondial , CPA - PricewaterhouseCoopers LLP
- John Coiro , CPA - Ernst & Young LLP
- James B. Evans Jr., CPA, J.D., LL.M. - Kulzer & DiPadova, P.A.
- Kevin J. Kerrigan , CPA - Wiss & Company, LLP
- Jodi D. Kleuskens , CPA, MAcc - Johnson & Johnson
- Norman Lobins , CPA - Deloitte
- Mark J. Philips , CPA - PricewaterhouseCoopers LLP
- Alan J. Preis , CPA - Alan J. Preis, CPA, PC
- Marcus Rayner - PricewaterhouseCoopers LLP
- Alan D. Sobel , CPA, CGMA - Sobel & Co. LLC
- David A. Springsteen , CPA - WithumSmith+Brown