ASSEMBLY COMMERCE AND MILITARY AND VETERANS' AFFAIRS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 941

STATE OF NEW JERSEY

DATED: OCTOBER 7, 1996

      The Assembly Commerce and Military and Veterans' Affairs Committee reports favorably Assembly Bill No. 941.

      As reported, this bill allows certain corporations to file combined corporation business tax returns. Currently, the corporation business tax does not permit corporations to file a combined return. A taxpayer filing a consolidated federal return must complete its New Jersey corporation business tax return as if it had filed its federal return on a separate basis. This bill allows corporations that are related to each other through common ownership to elect to file combined returns as an incentive to expand and develop further in New Jersey.

      This bill was pre-filed for introduction in the 1996 session pending technical review. As reported, the bill includes the changes required by technical review which has been performed.