2023 CBT-100S 
General Instructions for New Jersey S Corporation Business Tax Return and Related Forms

Electronic Filing Mandate                                                 Corporations Required to File
All taxpayers and tax preparers must file Corporation Business            A corporation that has elected and qualifies to be an S corpora-
Tax returns and make payments electronically. This mandate in-            tion pursuant to Section 1361 of the Internal Revenue Code is 
cludes all returns, estimated payments, extensions, and vouch-            required to file Form CBT-100S unless the shareholders elect 
ers. Visit the Division’s website or check with your software             to be treated as a C corporation for New Jersey purposes. See 
provider to see if they support any or all of these filings.              Hybrid Corporations.
To file and pay the annual report electronically, visit the Division               Nexus. For privilege periods ending on and after July 
of Revenue and Enterprise Services’ website.                                       31, 2023, corporations will be deemed to have bright-
                                                                                   line economic nexus if during the corporation’s tax 
                                                                          year: 
Before You Begin                                                          • The receipts derived from New Jersey sources are more than 
Read all instructions carefully before completing returns.                  
                                                                            $100,000, or
Include a complete copy of the federal Form 1120-S and                    • 200 or more separate transactions are delivered to customers 
all related forms and schedules. See Technical Bulletin,                    in New Jersey. 
TB-98(R), Federal Return and the Forms and Schedules to In-
clude with the Corporation Business Tax Return.                           Corporations that do not meet either threshold above, and do 
                                                                          not create nexus in another way, do not have nexus even if they 
For privilege periods beginning on or after December 22, 2022,            have New Jersey receipts. Information on nexus is available in 
a federal S corporation (or QSSS) can file as a New Jersey S              TB-108, Nexus for Corporation Business Tax for Privilege Peri-
corporation (or QSSS) even if they did not previously make the            ods Ending on and after July 31, 2023.
New Jersey election. They must submit the Shareholder Juris-
dictional Consent and proof of their federal S corporation status.        Corporations Claiming P.L. 86-272. 
See instructions for Schedule SJC for more information.                   Foreign corporations that meet the filing requirements and 
                                                                          whose income is immune from tax pursuant to Public Law 86-
Personal Liability of Officers and Directors                              272, must obtain and complete Schedule N, Nexus – Immune 
Any officer or director of any corporation who shall distribute or        Activity Declaration, and all of the schedules from the CBT-100S. 
cause to be distributed any assets in dissolution or liquidation          In addition, taxpayers must include a copy of the Nexus Ques-
to the stockholders without having first paid all corporation fran-       tionnaire and remit the minimum tax with the CBT-100S. 
chise taxes, fees, penalties and interest imposed on said corpo-
ration, in accordance with N.J.S.A. 14A:6-12, N.J.S.A. 54:50-18           Note:  Check the box on page 1 to indicate the corporation is 
and other applicable provisions of law, shall be personally liable              claiming P.L. 86-272.
for said unpaid taxes, fees, penalties, and interest. Compliance          Qualified Subchapter S Subsidiaries. A Qualified Subchapter 
with N.J.S.A. 54:50-13 is also required in the case of certain            S Subsidiary (QSSS) is required to file Form CBT-100S annu-
mergers, consolidations, and dissolutions.                                ally, including only page 1 reflecting zero income, the Annual 
                                                                          General Questionnaire, and when applicable Schedule SJC 
Distortion of Net Income                                                  and Schedule PC, and remit the minimum tax. The QSSS must 
The Director is authorized to adjust and redetermine items of             check the box on page one indicating it is a Qualified Subchap-
gross receipts and expenses as may be necessary to make a                 ter S Subsidiary and include the parent ID number. The parent is 
fair and reasonable determination of tax payable under the Cor-           obligated to report all assets, liabilities, income, and expenses of 
poration Business Tax Act. For details regarding the conditions           the QSSS on a consolidated basis on its CBT-100S, CBT-100, 
under which this authority may be exercised, see regulation               or CBT-100U return. See also, Hybrid Corporations.
N.J.A.C. 18:7-5.10.
                                                                          Hybrid Corporations. A federal S corporation or Qualified Sub-
Accounting Method                                                         chapter S Subsidiary that elects to file as a C corporation for 
The return must be completed using the same method of ac-                 New Jersey purposes is a hybrid corporation. For information 
counting, cash, accrual or other basis, that was employed in the          on filing requirements, see TB-105, Corporation Business Tax 
taxpayer’s federal income tax return.                                     and Gross Income Tax Guidance regarding S Corporations and 
                                                                          Qualified Subchapter S Subsidiaries.
Riders                                                                    Foreign Corporations That Own New Jersey Partnerships. A 
If space is insufficient, include riders in the same form as the          foreign corporation that owns a New Jersey partnership must file 
original printed sheets. The riders must be numbered and clearly          Form CBT-100S to claim the tax paid on their behalf by the part-
list the schedule(s) and line(s) of each corresponding rider item.        nership. The foreign corporation cannot transfer the tax paid by 
                                                                          the partnership on its behalf to any of its shareholders.
Federal/State Tax Agreement
The New Jersey Division of Taxation and the Internal Revenue              Out-of-Business Corporations. Corporations that are “out of 
Service participate in a federal/State program for the mutual ex-         business” but have not dissolved or withdrawn their authority to 
change of tax information to verify the accuracy and consistency          do business in New Jersey, are still obligated to file a return. A 
of information reported on federal and New Jersey tax returns.            dissolution or withdrawal date must be established on or before 

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the last day of the current taxable period in order to avoid having       the combined return. The member will not complete a separate 
to file a return for the next tax year.                                   return.
New Corporations. Every New Jersey corporation acquires a                 Visit the Division’s website for information about combined 
taxable status beginning 1) on the date of its incorporation, or          reporting.
2) on the first day of the month following its incorporation if so 
stated in its certificate of incorporation. Every corporation that        Note:  A taxpayer that has nexus with New Jersey that is part of 
incorporates, qualifies, or otherwise acquires a taxable status                  a combined group or affiliated group, but excluded from 
in New Jersey must file a Corporation Business Tax return. A                     the New Jersey combined return must file a separate 
tax return must be filed for each fiscal period, or part thereof,                return. 
beginning on the date the corporation acquired a taxable sta-
                                                                          Former Member of Combined Group. A taxpayer that was 
tus in New Jersey regardless of whether it had any assets or 
                                                                          a member of a combined group filing a New Jersey combined 
conducted any business activities. No return can cover a period 
                                                                          return for part of the group privilege period and subsequently 
exceeding 12 months, even by a day.
                                                                          departs the combined group to file on a separate entity basis, 
      Financial Business Corporations. Corporations that                  must report the income for months subsequent to departing the 
      qualify as financial businesses, those that derive 75%              combined group on a separate return (Form CBT-100S) unless 
      of their gross income from the financial activities enu-            the taxpayer joined a second combined group that files a New 
merated at N.J.A.C. 18:7-1.16(a)1 through (a)7, must file the             Jersey combined return. The taxpayer filing a separate return 
New Jersey Corporation Business Tax Return, Form CBT-100 or               would not report the income on Form CBT-100S for the months 
the Corporation Business Tax Unitary Return, Form CBT-100U.               during which the member was part of the combined group. If de-
                                                                          termining what amount of income is attributable to the portions 
Professional Corporations. Corporations formed under                      of the twelve-month period are for the periods before and after 
N.J.S.A. 14A:17-1 et seq. or any similar laws of a possession             departing a combined group, the taxpayer must prorate their in-
or territory of the U.S., a state, or political subdivision thereof,      come/losses and receipts. 
must complete Schedule PC. Examples of licensed profession-
als include certified public accountants, architects, optometrists, 
professional engineers, land surveyors, land planners, chiroprac-         When to File
tors, physical therapists, registered professional nurses, dentists, 
                                                                          2023 Accounting Periods and Due Dates
osteopaths, physicians and surgeons, doctors of medicine, doc-
tors of dentistry, podiatrists, veterinarians, and attorneys.             The 2023 S Corporation Business Tax return should only be 
                                                                          used for accounting periods ending on and after July 31, 2023, 
Inactive Corporations. Inactive corporations that, during the             through June 30, 2024. 
period covered by the return, did not conduct any business, did 
not have any income, receipts or expenses, did not own any                New Jersey Corporation Business Tax returns and payments, 
assets, did not make any distributions, and did not have any              except estimated payments, are due the 15th day of the month 
change in ownership, must complete the Certificate of Inactivity          following the month the federal corporate income tax return is 
section on page 1. Payment for the related minimum tax liability          originally due. If the due date falls on a weekend or a legal hol-
and the installment payment (if applicable) must be submitted             iday, the return and payment are due on the following business 
electronically. See the Page 1 section for more information.              day. Use the following schedule for 2023 CBT-100S forms and 
                                                                          payments:
Combined Reporting                                                        If accounting   July 31,  Aug. 31,  Sept. 30,  Oct. 31, Nov. 30,  Dec. 31, 
New Jersey enacted mandatory combined reporting for unitary               period ends on: 2023    2023 2023            2023       2023     2023
businesses for tax years ending on and after July 31, 2019.               Due date for    Nov. 15,  Dec. 15,  Jan. 15,  Feb. 15,  Mar. 15, Apr 15, 
Groups of companies that have common ownership and are en-                filing is:      2023    2023 2024            2024       2024     2024
                                                                          If accounting   Jan. 31,  Feb. 28,  Mar. 31, Apr. 30,   May 31,  June 30, 
gaged in a unitary business, where at least one member of the             period ends on: 2024    2024 2024            2024       2024     2024
group is subject to the New Jersey Corporation Business Tax,              Due date for    May 15, June 15,  July. 15,  Aug. 15,  Sept. 15,  Oct. 15, 
are required to calculate their tax liability on a combined basis on      filing is:      2024    2024 2024            2024       2024     2024
Form CBT-100U, Corporation Business Tax Unitary Return.                   Calendar or fiscal accounting year is the same accounting pe-
A New Jersey S corporation is not included as a member of a               riod upon which the taxpayer is required to report to the United 
combined group unless the New Jersey S corporation affirma-               States Treasury Department for federal income tax purposes. 
tively elects to be included as a member of the combined group            Please note the ending month of the accounting period for 
on the CBT-100U.                                                          federal returns and New Jersey returns must match, however, 
                                                                          the tax return year for the federal and State returns may differ. 
Note: The law change did not impact the treatment of parent               (i.e., a tax year ending 8/31/23 may be filed on a 2022 federal 
      New Jersey S corporations and New Jersey qualified sub-             1120-S; the same tax year must be filed on a 2023 New Jersey 
      chapter S subsidiaries. The parent of New Jersey quali-             CBT-100S.) All accounting periods must end on the last day of 
      fied subchapter S subsidiary(ies) must include the figures          the month, even if the taxpayer uses the same 52-53 week ac-
      from itself and all the New Jersey QSSSs.                           counting year that is used for federal income tax purposes, see 
                                                                          N.J.A.C. 18:7-2.3. The Division is aware that taxpayers cannot 
A member of a combined group filing a New Jersey combined                 properly input dates for 52-53 week accounting years. In this 
return does not have to file a separate return for the privilege          case, taxpayers must enter the last day of the month. Attach a 
period or portion of the privilege period thereof that the taxpayer       rider showing the correct accounting period. Returns for prior tax 
was included as a member of the combined return. A combined               years are available on the Division’s website.
group member with business operations that are independent 
of the unitary business activity of the combined group must re-
port such income on Schedule X. Schedule X is submitted with 

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Extension of Time to File                                                  Late Filing Penalty. 5% per month or part of a month on the 
The Tentative Return and Application for Extension of Time to              amount of underpayment not to exceed 25% of that underpay-
File, Form CBT-200-T, must be filed and paid electronically.               ment, except if no return has been filed within 30 days of the 
You can also check with your software provider to see if the               date on which the first notice of delinquency in filing the return 
software you use supports filing of extensions. If an extension is         was sent, the penalty will accrue at 5% per month or part of a 
requested, the corporation should notify all shareholders of such          month of the total tax liability not to exceed 25% of such tax lia-
request.                                                                   bility. Also, a penalty of $100 for each month the return is delin-
                                                                           quent may be imposed.
Corporations will automatically receive a six-month extension 
only if they have paid at least 90% of the tax liability and timely        Late Payment Penalty. 5% of the balance of tax due paid after 
filed Form CBT-200-T.                                                      the due date for filing the return may be imposed.
An extension of time is granted only to file your New Jersey Cor-          Interest. The annual interest rate is 3% above the average pre-
poration Business Tax return. There is no extension of time to             dominant prime rate on outstanding balances for every month 
pay the tax due. The Division will notify you only if we deny your         or part of a month the tax is unpaid, compounded annually. At 
extension request, but not until after you actually file your return.      the end of each calendar year, any tax, penalties, and interest 
Penalties and interest are imposed whenever tax is paid after              remaining due will become part of the balance on which interest 
the original due date.                                                     will be charged. The interest rates assessed by the Division of 
                                                                           Taxation are published online.
Note:  An extension payment must include any applicable pro-
     fessional corporation (PC) fees and/or installment pay-               Note: The average predominant prime rate is the rate as deter-
     ments. See the online application for more information.                     mined by the Board of Governors of the Federal Reserve 
                                                                                 System, quoted by commercial banks to large businesses 
                                                                                 on December 1st of the calendar year immediately pre-
                                                                                 ceding the calendar year in which payment was due or as 
Payment of Tax 
                                                                                 redetermined by the Director in accordance with N.J.S.A. 
The balance of tax due must be paid in full by the original due 
                                                                                 54:48-2.
date of the return. 
In addition, corporations are required to make installment pay-            Collection Fees. In addition, if the tax bill is sent to our col-
                                                                           lection agency, a referral cost recovery fee of 11% of any tax, 
ments of estimated tax. The requirement for making these pay-
                                                                           penalties, and interest due will be added to the liability in accor-
ments is based on the amount of the total tax liability shown on 
                                                                           dance with N.J.S.A. 54:49-12.3. If a certificate of debt is issued 
the most recent return.
                                                                           for the outstanding liability, a fee for the cost of collection of the 
         P.L. 2023, c.96 increased the installment payment                 tax may also be imposed.
         safe harbor in N.J.S.A. 54:10A-15.2 from $375 to 
         $1,500. See page 1, line 7 instructions for more                  Underpayment of Estimated Tax. To calculate the amount of 
                                                                           interest for the underpayment of estimated tax, complete either 
         information.
                                                                           Form CBT-160-A or Form CBT-160-B. If the taxpayer qualifies 
                                                                           for any of the exceptions to the imposition of interest for any of 
How to Pay                                                                 the installment payments, Part II must be completed and submit-
To make payments electronically, go to the Division of Taxation’s          ted with the return as evidence of such exception. 
website. Taxpayers that do not have access to the internet may 
call the Division’s Customer Service Center at (609) 292-6400.             Civil Fraud. If any part of an assessment is due to civil fraud, 
                                                                           there shall be added to the tax an amount equal to 50% of the 
Taxpayers with a prior year liability of $10,000 or more in any            assessment in accordance with N.J.S.A. 54:49-9.1.
tax are required to make their payments for all taxes by Elec-
tronic Funds Transfer (EFT). For information or to enroll in the           Transacting Business Without a Certificate of Authority. In 
program, visit the Division of Revenue and Enterprise Services’            addition to any other liabilities imposed by law, a foreign corpo-
website, call (609) 292-9292, fax (609) 984-6681, or write to NJ           ration that transacts business in this State without a certificate of 
Division of Revenue and Enterprise Services, EFT Section, PO               authority shall forfeit to the State a penalty of not less than $200, 
Box 191, Trenton, NJ 08646-0191.                                           nor more than $1,000 for each calendar year, not more than 5 
                                                                           years prior thereto, in which it shall have transacted business in 
Note:  Taxpayers who are required to remit payments by EFT                 this State without a certificate of authority. N.J.S.A. 14A:13-11(3).
     can satisfy the EFT requirement by making e-check or 
     credit card payments.
                                                                           Amended Returns
                                                                           Beginning with returns for Tax Year 2019 and after, taxpayers 
Penalties and Interest                                                     must submit amended returns electronically. 
Insufficiency Penalty. If the amount paid with the Tentative Re-
turn, Form CBT-200-T, is less than 90% of the tax liability com-           Final Determination of Net Income by Federal Government. 
puted on Form CBT-100S, or in the case of a taxpayer whose                 Any change or correction made by the Internal Revenue Ser-
preceding return covered a full 12-month period, is less than the          vice must be reported to the Division within 90 days. Amended 
amount of the tax computed at the rates applicable to the current          NJ-K-1s must be provided to the appropriate shareholders. 
accounting year but on the basis of the facts shown and the law 
applicable to the preceding accounting year, the taxpayer may 
be liable for a penalty of 5% per month or part of a month not to 
exceed 25% of the amount of underpayment from the original 
due date to the date of actual payment.

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                                                                         For taxpayers with total entire net income that is not subject to 
Page 1 Line-by-Line Instructions                                         federal income taxation or such portion that is allocable to New 
Enter the federal employer identification number, New Jersey             Jersey, there is no tax imposed. However, minimum tax require-
corporation number, corporation name and complete address                ments apply.
and ZIP Code in the space provided on the return.
                                                                         Line 2b – Total Minimum Tax
Check the appropriate box to indicate whether this is the initial               Enter the total minimum tax. Schedule A-GR has been 
return or an amended return.                                                    discontinued. All taxpayers must complete Sched-
If filing an amended return, enter the applicable code in the                   ule J.
boxes provided. If using code 10, “Other,” enter the reason in the       The minimum tax is assessed based on the New Jersey gross 
lines provided. If more space is needed, include a rider.                receipts from Schedule J, line 6 as follows:
 1.   Change in allocation factor                                        New Jersey Gross Receipts                          Minimum Tax
 2.   IRS audit                                                          Less than $100,000                                        $375
 3.   Amended federal 1120-S filed                                       $100,000 or more but less than $250,000                   $562
 4.   To take credit for payments/payments made by a                     $250,000 or more but less than $500,000                   $750
      partnership                                                        $500,000 or more but less than $1,000,000                 $1,125
 5.   Adjustments to ENI                                                 $1,000,000 or more                                        $1,500
 6.   To change credit request to refund request or refund 
      request to credit request                                          If a taxpayer is filing a separate return and is a member of an 
 7.   Change in filing period                                            affiliated or controlled group (as per I.R.C. § 1504 or § 1563) 
 8.   Change in tax credits reported                                     that has a total payroll of $5,000,000 or more for the tax year, 
 9.   Adding or subtracting a combined return member                     the minimum tax is $2,000 regardless of the amount of the tax-
 10.  Other                                                              payer’s New Jersey gross receipts. Tax years of less than 12 
                                                                         months are subject to the higher minimum tax if the prorated 
Note: Taxpayers cannot file an amended return to change the              total payroll exceeds $416,667 per month. Total payroll refers to 
      entity type from an S corporation to a C corporation, or           the total payroll of the affiliated group rather than total New Jer-
      from a C corporation to an S corporation.                          sey payroll of a single corporation. Taxpayers that are members 
                                                                         of an affiliated or controlled group must submit a schedule of 
Provide the remaining information requested on the top portion           payroll per member and a copy of the taxpayer’s federal affilia-
of the return. The federal business activity code should be taken        tions schedule, Form 851, with the return. 
from the taxpayer’s federal tax return. Provide the location of the 
corporate books as well as a contact person and phone num-               The minimum tax cannot be prorated. In general, zero (0) 
ber. If the corporation is a professional corporation, is claiming       returns are not permitted.
P.L. 86-272, or is a qualified subchapter S subsidiary, check the 
box and enter parent ID number. See Corporations Required to             Line 3 – Tax Credits
File on page 1 for required forms and schedules.                         Enter amount from Schedule A-3, Part I, line 30. Include the ap-
                                                                         plicable credit form(s) with the return. See Schedule A-3 instruc-
All corporations must complete page 1, the Annual General                tions for more information.
Questionnaire, Schedules A, A-2, A-3, A-4, J, and SJC (if it has 
not been previously provided) of the return.                             Line 4 – Tax Liability
                                                                         Subtract line 3 from the greater of line 2a or 2b. 
Line 1 – Taxable Net Income Subject to Federal Corporate 
Income Taxation                                                          Note:  The surtax does not apply to New Jersey S corporations.
Enter amount from Schedule A, Part II, line 5. If zero or less,          Line 5 – Installment Payment
enter zero.                                                              Taxpayers are required to make installment payments of esti-
Line 2a – Amount of Tax                                                  mated tax. The requirement for making these payments is based 
Multiply line 1 by the applicable tax rate:                              on the amount of the total tax liability shown on the most recent 
                                                                         return.
•  If the total of Schedule A, Part II, line 5 plus Schedule O, 
 Part III, line 31 (if applicable) is greater than $100,000, the                For tax years ending on and after July 31, 2023, the 
 tax rate is 9% (.09).                                                          threshold for making installment payments is $1,500.
•  If the total of Schedule A, Part II, line 5 plus Schedule O,          •  If the 2023 total tax liability is greater than $1,500, the tax-
 Part III, line 31 (if applicable) is greater than $50,000 and            payer must make installment payments towards 2024. These 
 less than or equal to $100,000, the tax rate is 7.5% (.075).             payments are to be made electronically on Form CBT-150 
 Tax periods of less than 12 months qualify for the 7.5% rate             and are due on or before the 15th day of the 4th, 6th, 9th, and 
 if the prorated total of Schedule A, Part II, line 5 plus Sched-         12th months of the tax year. Taxpayers with gross receipts 
 ule O, Part III, line 31 does not exceed $8,333 per month.               greater than or equal to $50,000,000 must make installment 
                                                                          payments on the 15th day of the 4th, 6th, and 12th months of 
•  If the total of Schedule A, Part II, line 5 plus Schedule O, 
                                                                          the tax year. Information on making these payments can be 
 Part III, line 31 (if applicable) is $50,000 or less, the tax            found on the Division’s website. 
 rate is 6.5% (.065). Tax periods of less than 12 months qualify 
 for the 6.5% rate if the prorated total of Schedule A, Part II,         •  If the 2023 total tax liability is $1,500, installment payments 
 line 5 plus Schedule O, Part III, line 31 does not exceed                may be made as indicated above OR in lieu of making install-
 $4,166 per month.                                                        ment payments, the taxpayer may make a payment of 50% 
                                                                          of the 2023 total tax liability. For taxpayers who qualify and 
                                                                          want to take advantage of this option, enter on line 5, 50% of 

                                                                    - 4 -

  the amount on line 4. This will become part of the payment to             Line 11b – Pass-Through Business Alternative Income Tax 
  be made with the 2023 return and installment payments will                Credit Applied to Gross Income Tax Paid on Behalf of Non-
  not be required. This payment should be claimed as a credit               consenting Shareholders
  when filing the 2024 return.                                              Enter the amount from Form 329. Do not enter more than the 
                                                                            amount on line 11a. Include Form 329 with the return. See Form 
Line 6 – Professional Corporation Fees                                      329 instructions for more information.
Enter amount from Schedule PC, Part II, line 7. 
                                                                            Line 11c – Balance of Tax Paid on Behalf of Nonconsenting 
Note:  Check the box on page 1 to indicate the corporation is a             Shareholders 
     professional corporation.                                              Subtract line 11b from line 11a and enter the result.
See Schedule PC instructions for information about filing re-               Line 12 – Penalty and Interest Due
quirements and examples of professional corporations.                       Include any penalties and interest. See the Penalties and Inter-
                                                                            est section for information.
Line 7 – Total Tax and Professional Corporation Fees 
Enter the total of lines 4, 5, and 6.                                       Amount Due or Overpayment - Lines 13–17
                                                                            Compare line 8d to the total of lines 7, 11c, and 12.
Line 8a – Payments and Credits
Include on this line:                                                       • If line 8d is less than the total of lines 7, 11c, and 12, com-
                                                                              plete line 13.
• Installment tax payments made for 2023;
                                                                            • If line 8d is more than the total of lines 7, 11c, and 12, com-
• Amounts paid with tentative return (form CBT-200-T);                        plete lines 14 through 17.
• Any overpayment from the preceding tax return that the tax-
  payer elected to have credited to the current year’s tax. Do              Line 13 – Total Balance Due
  not include any amount of the overpayment that the taxpayer               Enter the total of lines 9, 11c, and 12.
  elected to have refunded.
                                                                            Line 14 – Amount Overpaid
Note:  Professional corporation installment payments from the               Subtract the total of lines 7, 11c, and 12 from the amount on 
     prior year may not be used to offset any current year tax              line 8d. 
     liability and are not eligible for refund.
                                                                            Line 15 – Refund
Line 8b – Payments Made by Partnerships                                     Enter the amount of your overpayment that you want refunded.
Include the total payments made by partnerships on behalf of 
the taxpayer that are reported in column 7 on Schedule P-1.                 Line 16 – Credit to 2024
Submit copies of the NJK-1s or K-1s (as applicable) reflecting              Enter the amount of your overpayment that you want to credit to 
payments made by each partnership entity.                                   your 2024 tax liability. 
Line 8c – Refundable Tax Credits                                            Line 17 – Credit to a Combined Group
Enter the amount from Schedule A-3, Part II, line 6. Include the            Enter the amount of your overpayment that you want to credit to 
applicable credit form(s) with the return. See Schedule A-3 in-             a combined group. Also include the unitary ID Number and tax 
structions for more information.                                            return year to which it is to be applied. 
Line 9 – Balance of Tax Due                                                 Note:  An overpayment of tax by a New Jersey S corporation 
If line 8d is less than line 7, subtract line 8d from line 7 and enter             can only be credited to a combined group in which the 
the difference. If line 8d is more than line 7, skip line 9 and con-               New Jersey S corporation elects to be included. Other-
tinue with line 10.                                                                wise, an overpayment of tax by a New Jersey S corpo-
                                                                                   ration will not be credited to any combined group. For 
Line 10 – Pro Rata Share of S Corp Income for Nonconsent-                          information on federal S corporations filing as New Jersey 
ing Shareholders                                                                   C corporations, see TB-105 and Answers to Frequently 
Enter the amount from Schedule K, Part VII, line 6, column C. If                   Asked Questions on the New Jersey S Corporation Pro-
the S corporation was completely liquidated during the tax year                    cedural Changes.
and Schedule K Liquidated was completed, add the amounts 
from Part VII, line 6 columns C and E and enter the total.                  Certification of Inactivity
                                                                            Inactive corporations must complete page 1, the Annual General 
Line 11a – Gross Income Tax Paid on Behalf of Nonconsent-                   Questionnaire, Schedules A, A-2, A-3, A-4, J, and SJC (if not 
ing Shareholders                                                            previously submitted) of the CBT-100S. A corporate officer must 
Enter the amount from Schedule K, Part VII, line 6, column F. If            sign and certify that the corporation did not conduct any busi-
the S corporation was completely liquidated during the tax year             ness, did not have any income, receipts, or expenses, and did 
and Schedule K Liquidated was completed, enter the amount                   not own any assets during the entire period covered by the tax 
from Part VII, line 6, column H. The tax rate on net pro rata               return.
share of S corporation income allocated to New Jersey for non-
consenting shareholders is 10.75% (.1075).                                  Signature 
Note:  The S corporation cannot make payments on behalf of                  Each return must be signed by an officer of the corporation who 
     consenting shareholders. Any payments made on behalf                   is authorized to attest to the truth of the statements contained 
     of consenting shareholders will be disallowed by the Di-               therein and to acknowledge that they understand they are re-
     vision. The S corporation will be required to file a refund            quired to include copies of their federal return(s), forms, and 
     claim for any payments made on behalf of consenting                    schedules. The fact that an individual’s name is signed on the 
     shareholders.                                                          return shall be prima facie evidence that such individual is au-
                                                                            thorized to sign the return on behalf of the corporation. 
                                                                       - 5 -

Tax preparers who fail to sign the return or provide their as-              If the corporation has not filed a separate federal income tax 
signed tax identification number shall be liable for a $25 penalty          return, the taxpayer must explain and reconcile the differences 
for each such failure. If the tax preparer is not self-employed,            on a rider. 
the name of the tax preparer’s employer and the employer’s tax 
identification number should also be provided. In the case of a             Lines 22a to 30 – Include all items of income and expense that 
corporation in liquidation or in the hands of a receiver or trustee,        pass through to the individual shareholders as reported on the 
certification shall be made by the person responsible for the con-          federal Schedule K. Be sure to report Part I, lines 26, 27, and 28 
duct of the affairs of such corporation.                                    as deductions.
                                                                            Charitable contributions are limited to 10% of taxable income 
                                                                            for New Jersey purposes and should be stated separately on 
Annual General Questionnaire                                                line 30.
All taxpayers must answer all questions on this schedule. If nec-
essary, include a rider detailing the information requested in the          Built-in gains must be reported on Part I, line 23d as a gross 
questions.                                                                  amount exclusive of any net effects of taxes paid by the 
                                                                            corporation.
Schedule A                                                                  Line 31 – The amount on line 31 must reflect entire net income 
                                                                            in the same manner and to the same extent as reported for fed-
Computation of Taxable Net Income                                           eral purposes
Every taxpayer must complete this schedule. 
                                                                            Line 33 – Interest on federal, state, municipal, and other 
           Taxpayers must include a copy of the federal                     obligations
           return and any forms or schedules that accompa-                  Include any interest income that was not taxable for federal in-
           nied the return that was filed with the Internal Rev-            come tax purposes and was not included in taxable net income 
           enue Service. Failure to include the forms and                   reported on Part I, line 31.
schedules will result in an incomplete New Jersey Corpora-
tion Business Tax return and the taxpayer may be assessed                   Line 34 – New Jersey State and other states taxes
penalties and interest for noncompliance. See Technical Bul-                Enter the total taxes paid or accrued to the United States, a 
letin, TB-98, Federal Return and the Forms and Schedules to                 possession or territory of the United States, a state, a political 
Include with the Corporation Business Tax Return.                           subdivision thereof, or the District of Columbia, or to any foreign 
                                                                            country, state, province, territory or subdivisions thereof, on or 
                                                                            measured by profits or income, business presence or business 
Part I                                                                      activity, or any sales and use tax paid by a utility vendor, taken 
       Cannabis Licensees. The income of a taxpayer, that                   as a deduction on Schedule A and reflected on Part I, line 31. 
       is registered as a cannabis licensee with New Jersey,                For additional information, see Technical Bulletin TB-80, Add-
       shall be determined without regard to 26 U.S.C.                      back of Other States’ Taxes, and the Schedule H instructions.
s.280E. However, Schedule A, Part I must be completed using 
the amounts that were reported for federal purposes. The tax-               Line 35 – Taxes paid by the corporation on behalf of the 
payer will calculate the expenditures that would have been eligi-           shareholder
ble to be claimed as a federal income tax deduction (but that               Any tax paid by the corporation on behalf of any shareholder 
were disallowed for federal purposes because cannabis is a                  should not have been deducted as an expense on Schedule A. 
controlled substance under federal law) and include those                   However, if the corporation expensed such taxes on Schedule A, 
amounts in New Jersey modifications to entire net income in                 these taxes must be included in Part I, line 34.
Part II. The taxpayer must attach a rider detailing the math and            Line 36a – Depreciation modification being added to income
the deductions being claimed.                                               Enter the depreciation and other adjustments being added to 
                                                                            income from Schedule S. See Schedule S instructions for more 
Line 4 – Net gain (loss) from Form 4797 
Include a rider or schedules showing the same information                   information. 
shown on federal Form 4797. Gains and losses resulting from                 Line 36b – Depreciation modification being subtracted from 
the disposition of property where an I.R.C. § 179 expense de-               income
duction was passed through to S corporation shareholders are                Enter the depreciation and other adjustments being subtracted 
not reported on federal Form 4797, and should be reported on                from income if Schedule S, line 15 is a negative number. Enter 
Schedule A, Part I, line 26. If a sale of shares of stock or partner-       the amount as a positive number. Schedule S instructions for 
ship interest resulted in a taxable transfer of a controlling interest      more information. 
in certain commercial real property under N.J.S.A. 54:15C-1, 
indicate on a rider.                                                        Line 37 – Dividend Exclusion 
                                                                            Enter the amount from Schedule R, line 9.
Line 13 – Interest
Include a copy of federal Form 8916A and/or federal Form 8990               Line 38a – I.R.C. § 78 Gross-up 
if completed.                                                               The portion of any I.R.C. § 78 gross-up included in dividend 
                                                                            income on Part I, line 23b that is not excluded/deducted from 
Line 21 – Ordinary Income From Trade or Business                            entire net income on Part I, line 43 may be deducted on this line. 
Activities                                                                  Include a copy of federal foreign tax credit, Form 1118. 
The amount on line 21 must agree with line 22, page 1, of the 
taxpayer’s federal Form 1120-S.                                             Line 38b – Other deductions and additions
                                                                            This includes, but is not limited to: 

                                                                       - 6 -

• Adjustments for which a place has not been provided some-             Note:   A net operating loss for a tax year may be carried forward 
  where else on the return;                                                     as a net operating loss deduction to a succeeding year. 
                                                                                An S corporation may carry forward losses generated as 
• Gross income, less deductions and expenses in connection                      a C corporation. A net operating loss is the excess of al-
  with that income, from sources outside the United States not                  lowable deductions over gross income used in computing 
  included in federal taxable income;                                           entire net income. A net operating loss deduction is not 
• The net effect of the elimination of nonoperational and non-                  an allowable deduction in computing a net operating loss. 
  unitary partnership income and expenses from Schedule O,                      Post-allocation net operating losses expire 20 privilege 
  Part I, line 36;                                                              periods after the loss was originally generated. Informa-
                                                                                tion on the net operating losses must be detailed on Form 
• The add back of any deductions for research and experimen-                    500S. 
  tal expenditures, to the extent that those research and experi-
  mental expenditures are qualified research expenses or basic                      Information on NOL deductions is available online. 
  research payments for which an amount of credit is claimed                        See TB-94 for tax years ending on and after July 
  pursuant to section 1 of P.L.1993, c.175 (C.54:10A-5.24)                          31, 2019.
  unless those research and experimental expenditures are 
  also used to compute a federal credit claimed pursuant to 
  I.R.C. § 41.                                                          Line 42 – Deduction for current converted net operation 
• A New Jersey cannabis licensee is allowed to deduct their             losses
  expenditures that would be eligible to be claimed as a fed-           Enter the amount of current converted net operating losses from 
  eral income tax deduction but were disallowed for federal             Form 500S.
  purposes because cannabis is a controlled substance under 
                                                                        Line 43 – Allocated Entire Net Income
  federal law. Attach a rider detailing the calculations and the        Subtract line 42 from line 41 and enter the result. 
  deductions claimed.
• A New Jersey cannabis licensee is allowed to deduct their             Part II
  expenditures that would qualify as qualified research expen-          Line 1 – Entire net income that is subject to federal corpo-
  ditures pursuant to section 174 of the Internal Revenue Code,         rate income taxation
  but were disallowed for federal purposes because cannabis is          Line 1 must reflect the income used as a basis in determining 
  a controlled substance under federal law. Additionally any ex-        the federal tax payable by the corporation as reported on fed-
  penditure that is claimed as a deduction may also be claimed          eral Form 1120-S, such as certain built-in gains, net passive 
  as a qualified research expense for purposes of the New               income, etc. Built-in gains must be reported on line 23d as a 
  Jersey Research and Development Tax Credit on Form 306.               gross amount exclusive of any net effects of taxes paid by the 
  Attach a rider detailing the calculations.                            corporation.
• Deduction for energy efficient commercial buildings. Include a        Line 2 – Allocation Factor
  copy of federal Form 7205.                                            Enter the allocation factor from Schedule J.
Include separate riders explaining any items reported.                  Line 3 – Allocated Entire Net Income before net operating 
Line 38c – Other federally exempt income                                loss deductions
For tax years beginning on and after January 1, 2018, all income        Multiply line 1 by line  2.
that was exempt for federal income tax purposes under any pro-          Line 4 – Deduction for Available Converted Net Operation 
vision of the Internal Revenue Code or any federal law must be          Losses
added back. If such amounts were not added back on any other            A taxpayer may use their New Jersey net operating loss deduc-
line of Schedule A, include such amounts onPart I, line 38c and         tions against their allocated entire net income that is subject to 
include a rider detailing the amounts and the provisions of the         federal corporate income taxation. Enter the amount of net oper-
Internal Revenue Code.                                                  ating loss deduction from Form 500S.
Note:  Items of income excluded from federal taxable net income         Line 5 – Taxable Net Income subject to federal corporate 
        pursuant to the specific terms of a treaty do not have to       income taxation
        be added back to entire net income.                             Subtract line 4 from line 3 and also enter the result on page 1, 
Line 39 – Entire net income/(loss) for New Jersey purposes              line 1. 
Enter the net of lines 32 through 38c.

Note:  The amount reported on Schedule A, line 36b must be              Schedule A-2 
        subtracted when netting lines 32 through 38c.                   Cost of Goods Sold
Line 40 – Allocation Factor from Schedule J                             The amounts reported on this schedule must be the same as 
All taxpayers must complete Schedule J. Enter allocation fac-           the amounts reported on the taxpayer’s federal Form 1125-A of 
tor from Schedule J. See Schedule J instructions for more               the federal pro forma or federal return, whichever is applicable. 
information.                                                            Include Form 1125-A with the return.

Line 41 – Allocated entire net income/(loss) before net oper-
ating loss deductions                                                   Schedule A-3 
Multiply line 39 by line 40 and enter the result. If zero or less, 
                                                                        Summary of Tax Credits
also enter zero on line 43.
                                                                        This schedule must be completed if any tax credits are being 
                                                                        claimed for the current tax period. Any tax credit(s) claimed on 

                                                                   - 7 -

this schedule must be documented with a valid New Jersey Cor-
poration Business Tax credit form and must be included with the           Schedule G 
tax return. See page 15 for a list of available credit forms and for              Schedule G has been discontinued. 
instructions on obtaining them. If the taxpayer is claiming a valid 
tax credit that is allowable in accordance with the New Jersey 
Corporation Business Tax Act for which a place has not been               Schedule H 
provided somewhere else on the schedule, report the amount on             Taxes
the “Other” line in the appropriate section of Schedule A-3.              Itemize all taxes that were in any way deducted in arriving at tax-
                                                                          able net income, whether reflected in Schedule A, Part I at line 2 
     Taxpayers must include the appropriate credit                        (Cost of goods sold and/or operations), line 12 (Taxes), line 19 
     form in the year the credit was earned even if they                  (Other deductions) or anywhere else on Schedule A.
     are not claiming the credit on their tax return.

                                                                          Schedule J
Part I – Tax Credits Used Against Liability 
The total on line 30 must equal the amount reported on page 1,            Computation of Allocation Factor
line 3. Amounts to be entered are calculated on the credit forms.                 All taxpayers must complete this schedule.
See the specific New Jersey Corporation Business Tax credit 
form for information about each credit.                                   Only activities related to operational activity are to be used in 
                                                                          computing the general allocation factors. If the taxpayer has 
Note:  Most tax credits cannot reduce the tax liability below the         nonoperational activity, see Schedule O. If the taxpayer has non-
     minimum tax. However, there are rare instances where it              unitary partnership income, see Schedule P-1.
     can. Follow the instructions on the credit form regarding 
     how and where to record the information to ensure the                Lines 1–5 – Receipts Fraction 
     credit is properly offsetting the tax liability.                     Receipts from sales of tangible personal property are allocated 
                                                                          to New Jersey if the goods are shipped to points within New Jer-
Part II – Refundable Tax Credits                                          sey. Receipts from the sale of goods are allocable to New Jersey 
If the credit form calculates an amount to be refunded, enter the         if shipped to a New Jersey or a non-New Jersey customer where 
refundable portion on the appropriate line. The total on line 6           possession is transferred in New Jersey. Receipts from the sale 
must equal the amount reported on page 1, line 8c.                        of goods shipped to a taxpayer from outside New Jersey to a 
                                                                          New Jersey customer by a common carrier are allocable to New 
                                                                          Jersey. Receipts from the sale of goods shipped from outside 
Schedule A-4                                                              New Jersey to a New Jersey location where the goods are 
Summary Schedule                                                          picked up by a common carrier and transported to a customer 
Every corporation must complete this schedule. Report the infor-          outside New Jersey are not allocable to New Jersey. Receipts 
mation on each line of Schedule A-4 from the return schedules             from the following are allocable to New Jersey: services per-
indicated. All lines must be completed as applicable.                     formed if the benefit of the service is received in New Jersey; 
                                                                          rentals from property situated in New Jersey; royalties from the 
                                                                          use in New Jersey of patents, copyrights, and trademarks; all 
Schedule A-GR                                                             other business receipts earned in New Jersey.
     Schedule A-GR has been discontinued. All taxpayers                   Services are sourced based on market sourcing.
     must complete Schedule J.
                                                                          Receipts from Sales of Capital Assets. Receipts from sales 
                                                                          of capital assets (property not held by the taxpayer for sale to 
Schedule B                                                                customers in the regular course of business), either within or 
Balance Sheet                                                             outside New Jersey, should be included in the numerator and 
Every taxpayer must complete this schedule. The amounts re-               the denominator based on the net gain recognized and not on 
ported must be the same as the year-end figures shown on the              gross selling prices. If the taxpayer’s business is the buying and 
taxpayer’s books. Where applicable, data must match amounts               selling of real estate or the buying and selling of securities for 
reported on Schedule L of the federal pro forma or federal return.        trading purposes, gross receipts from the sale of such assets 
If not, explain and reconcile on rider. Consolidated information is       should be included in the numerator and the denominator of the 
not permitted on separate returns. If the taxpayer is included in         receipts fraction.
a consolidated federal income tax return, this schedule must be 
completed by the taxpayer on its own separate basis.                      Note:  The amount of dividends (deemed and/or paid dividends) 
                                                                                excluded from entire net income pursuant to N.J.S.A. 
                                                                                54:10A-4(k)(5), are not included in the numerator or de-
                                                                                nominator of the receipts fraction. However, the dividend 
Schedule F
                                                                                (deemed and/or paid dividends) values that are not ex-
Corporate Officers – General Information and                                    cluded are included in the numerator or denominator. 
Compensation
All applicable information should be provided for each corporate                  GILTI is now treated as a dividend for New Jersey 
officer regardless of whether compensation was received. The                      purposes and is reported on the dividends and 
data reported on Schedule F must match what is reported on                        other inclusions line (Schedule A, Part I, line 23b). 
federal Form 1125-E. Include Form 1125-E with your return.

                                                                     - 8 -

Line 8 – Allocation Factor                                                Line 6b – Enter any gains reflected in line 3 that are not subject 
Divide line 6 (New Jersey based receipts) by line 7 (Total Re-            to New Jersey Gross Income Tax pursuant to N.J.S.A. 54A:6-14 
ceipts everywhere) and enter the result. When computing the               and 6-14.1, i.e., gains or losses from exempt federal obligations 
allocation factor in Schedule J, division must be carried to six (6)      and/or obligations of the State of New Jersey or its political 
decimal places, e.g., 0.123456.                                           subdivisions.
                                                                          Line 6c – I.R.C. Section 179 expenses from federal Schedule K.
Schedule K                                                                Line 6d – 50% of business meal expenses and 100% of enter-
Shareholders’ Shares of Income, Deductions, Etc.                          tainment expenses not deductible for federal purposes.
If the S corporation was completely liquidated during the tax 
year, see the instructions for Schedule K Liquidated.                     Line 6e – Charitable contributions from federal Schedule K.
                                                                          Line 6f – Include any expenses to generate federal tax-exempt 
Part I                                                                    income that is taxable for New Jersey Gross Income Tax pur-
Line 1 – Enter the total number of shareholders as of the closing         poses. Submit a schedule. Also include any other items that are 
date of this return.                                                      excludable or deductible from S corporation income under the 
                                                                          New Jersey Gross Income Tax Act.
Line 2 – Enter the total number of nonresident shareholders in-
cluded on line 1 above.                                                   Note:  For tax years beginning on or after January 1, 2018, 
                                                                                 I.R.C. Section 199 has been repealed for federal pur-
Lines 3a and b – Enter the total number of nonconsenting 
                                                                                 poses and no deduction is allowed for New Jersey pur-
shareholders included on line 1 and the percentage of stock 
                                                                                 poses. For New Jersey Corporation Business Tax and 
owned as of the closing date of this return. This number must 
                                                                                 Gross Income Tax purposes, the I.R.C. Section 199A 
match the number reported on Schedule SJC. See Schedule 
                                                                                 is disallowed for tax years beginning on and after 
SJC for more information.
                                                                                 January 1, 2018.
Part II – New Jersey S Corporation Income (Loss)                          Line 7 – For tax years beginning on or after January 1, 2004, if 
Lines 2a–2l – Enter the amounts of income or loss as reported             the federal special bonus depreciation allowance or I.R.C. Sec-
on the corresponding lines of your federal Form 1120-S, Sched-            tion 179 expense were deducted for assets placed in service 
ule K.                                                                    on or after January 1, 2004, then a New Jersey depreciation 
                                                                          adjustment is required. Use Gross Income Tax Depreciation 
On line 2i, report any gains or losses from the disposition of            Adjustment Worksheet, GIT-DEP, to calculate the depreciation 
property in which a section 179 expense was claimed and                   adjustment for the assets’ initial years and for subsequent years 
passed through to the S corporation shareholders.                         until property is fully depreciated or disposed of; for adjustments 
Lines 4a–4e Additions                                                     to federal Section 179 recapture income; and for adjustments to 
Line 4a – Enter any State and municipal interest income that              the gain or loss from disposition of such assets. Enter the results 
was not included in line 3. Do not include interest received or           on this line. Worksheet GIT-DEP is available on the Division’s 
credited from obligations of the State of New Jersey or any of its        website.
political subdivisions.
                                                                          Part III – Allocation of S Corporation Income 
Line 4b – Enter the total taxes paid or accrued to the United             (Loss) 
States, a state, a political subdivision thereof, or the District         Line 1a – If you have completed Schedule O, Nonoperational 
of Columbia on or measured by profits or income, or business              Activity, enter the amount reported on Part I, line 34, of Sched-
presence or business activity, including income taxes paid or             ule O. If you have not completed Schedule O, enter zero on this 
accrued by the corporation on behalf of, or in satisfaction of            line. If the nonoperational income has already been deducted 
the liabilities of, the shareholders of the corporation, taken as a       from line 1 via adjustments made in Part II, make no adjust-
deduction on the CBT-100S, Schedule A and reflected in line 3,            ments on this line.
Part II of Schedule K.
                                                                          Line 1b – Enter the net effect of the elimination of nonunitary 
Line 4c – Enter all interest on indebtedness incurred or contin-          partnership income and expenses from Schedule P-1, Part II, 
ued, expenses paid and incurred to purchase, carry, manage or             line 4.
conserve, and expenses of collection of the income or gain from 
obligations the income or gain from which is deductible pursuant          Line 5 – If you have completed Schedule O, Nonoperational 
to N.J.S.A. 54A:6-14 and 6-14.1, and reflected in line 3, Part II of      Activity, enter the amount reported on Part III, line 31, column C, 
Schedule K.                                                               Total Allocated New Jersey Portion. If you have not completed 
                                                                          Schedule O, enter a zero on this line.
Line 4d – Enter any losses reflected in line 3 that are not de-
ductible for New Jersey Gross Income Tax purposes pursuant to             Line 7 – Subtract page 1, line 3 from page 1, line 2a. If the result 
N.J.S.A. 54A:6-14 and 6-14.1, i.e., losses from exempt federal            is less than zero, enter zero. Do not enter a negative number.
obligations and/or obligations of the State of New Jersey or its 
political subdivisions.
Lines 6a–g Subtractions
Line 6a – Enter any interest income reflected in line 3 that is not 
subject to New Jersey Gross Income Tax pursuant to N.J.S.A. 
54A:6-14 and 6-14.1, i.e., interest income on exempt federal 
obligations.

                                                                     - 9 -

Part IV-A – Analysis of New Jersey Accumulated                            the retained earnings of the corporation prior to becoming an S 
                                                                          corporation. If the retained earnings of the corporation prior to 
Adjustments Account (AAA) 
                                                                          becoming an S corporation is a negative amount, enter zero.
This account reflects New Jersey S corporation earnings.
                                                                          Line 2 – Enter any additions or adjustments that must be made 
Note: If applicable, the allocation percentage from Schedule K,           for federal income tax purposes.
      Part III, line 3 should be used for all allocated amounts 
      indicated below.                                                    Line 3 – Enter any dividends paid during the tax year from the 
                                                                          earnings and profits account. See instructions for Part IV-A, 
Column A – New Jersey AAA, includes:                                      line 6.
•  Resident – All items of income, loss, reduction, or distribution 
  regardless of where it is generated (include both allocated 
                                                                          Parts V, VI, and VII
  and non-allocated amounts). Allocated and non-allocated 
  amounts refer to the corporation’s New Jersey allocation                Complete Parts V, VI, and VII including shareholders’ full names 
  factor.                                                                 and Social Security numbers. List all shareholders in the S 
                                                                          corporation receiving either a federal or New Jersey K-1. If addi-
• Nonresident – Items of income, loss, reduction, or distribu-            tional space is required, include separate schedules in the exact 
  tion generated from New Jersey sources (include allocated               format for the additional shareholders.
  amounts only).
                                                                          Part V – For resident shareholders, indicate their pro rata share 
Column B – Non-New Jersey AAA, includes:                                  of S corporation income/loss from all sources in column C, and 
•  Resident – No items.                                                   the actual total amount of distributions, whether in cash and/or 
                                                                          property, in column D.
• Nonresident – Items of income, loss, reduction, or distri-
  bution generated from non-New Jersey sources (include                   Complete column E only if all shareholders are individuals, es-
  non-allocated amounts only).                                            tates, or trusts. If you indicate on Form 329, Part I, line 13 that 
                                                                          the Share of Pass-Through Business Alternative Income Tax will 
Line 1 – Enter the prior year ending balance of the New Jersey            be allocated to the shareholders, enter in column E each share-
Accumulated Adjustments Account (AAA). For the first year as              holder’s share of the amount from Form 329, Part I, line 13.
a New Jersey S corporation, the beginning balance of the New 
Jersey AAA account will be zero.                                          Part VI – For consenting nonresident shareholders, indicate 
                                                                          the income/loss allocated to New Jersey in column C, and the 
Line 2 – Enter the net pro rata share of allocated and non-al-            income/loss not allocated to New Jersey in column D and the 
located S corporation income or loss for resident shareholders            actual total amount of distributions, whether in cash and/or prop-
and the net pro rata share of allocated S corporation income for          erty, in column E.
nonresident shareholders.
                                                                          Complete column F only if all shareholders are individuals, es-
Line 3 – Enter the total of the allocated and non-allocated               tates, or trusts. If you indicate on Form 329, Part I, line 13 that 
tax-exempt income or loss for resident shareholders and the al-           the Share of Pass-Through Business Alternative Income Tax will 
located tax-exempt income or loss for nonresident shareholders.           be allocated to the shareholders, enter in column F each share-
Line 4 – Enter the total of the allocated and non-allocated               holder’s share of the amount from Form 329, Part I, line 13.
other reduction(s) for resident shareholders and the allocated            Part VII – For nonconsenting shareholders, indicate the income/
other reduction(s) for nonresident shareholders. Other reduc-             loss allocated to New Jersey in column C and the income/loss 
tions include taxes based on income paid by the S corporation             not allocated to New Jersey in column D. Enter on page 1, lines 
(the taxes added back on Schedule K, Part II, line 4b), health            10 and 11 of the CBT-100S, the totals reported from Part VII, 
or life insurance paid by the S corporation, fines and penalties          column C, the income allocated to New Jersey, and column F, 
paid by the S corporation, and club dues paid by the S corpo-             Gross Income Tax Paid, respectively. If the income allocated 
ration. Also, other reductions should include any other adjust-           to New Jersey is a loss, enter a zero (0) on lines 10 and 11 on 
ments for expenses that are nondeductible for federal income              page 1 of the CBT-100S.
tax purposes in determining income but must be taken into 
consideration in calculating the ending balance of AAA in the             Complete column G only if all shareholders are individuals, es-
year the expenses are incurred or paid, and are not already in-           tates, or trusts. If you indicate on Form 329, Part I, line 13 that 
cluded in Schedule K, Part II. Provide a schedule detailing other         the Share of Pass-Through Business Alternative Income Tax will 
reductions.                                                               be allocated to the shareholders, enter in column G each share-
                                                                          holder’s share of the amount from Form 329, Part I, line 13.
Line 5 – Enter the total of lines 1, 2, 3, and 4.
Line 6 – Enter the total of the allocated and non-allocated 
distribution(s) for the resident shareholder and the allocated dis-       Schedule K Liquidated
tribution(s) for the nonresident shareholder. Federal rules gov-          Shareholders’ Shares of Income, Deductions, Etc.
erning distributions must be followed.                                    Special Instructions for S corporations completely liquidated 
                                                                          during the tax year – Under N.J.A.C. 18:35-1.5(k)2, a complete 
Part IV-B – New Jersey Earnings and Profits                               liquidation of an S corporation is deemed to occur in the tax 
Account                                                                   year when all of the S corporation’s assets have been sold or 
This account reflects New Jersey C corporation earnings.                  deemed to have been sold, exchanged, disposed, or distributed 
                                                                          and all of the S corporation’s stock has been sold, exchanged, or 
Line 1 – Enter the beginning balance of the New Jersey E & P              disposed. If both of these criteria are met and the S corporation 
account. For the first year as a New Jersey S corporation, the            was completely liquidated during the tax year, Schedule K Liqui-
beginning balance of the earnings and profits account will be             dated must be prepared instead of Schedule K.

                                                                    - 10 -

Column A – S Corporation Income, Gains, Losses Prior to Dis-                to N.J.S.A. 54A:6-14 and 6-14.1, and reflected in line 3, Part II of 
position of Assets: List in column A the income, gains, losses,             Schedule K Liquidated.
and New Jersey adjustments from and applicable to the S cor-
poration’s operations, activities, and transactions prior to the            Line 4d – Enter any losses reflected in line 3 that are not de-
complete sale, exchange, or other disposition of all of the S cor-          ductible for New Jersey Gross Income Tax purposes pursuant to 
poration’s assets. The total will be reported on the shareholders’          N.J.S.A. 54A:6-14 and 6-14.1, i.e., losses from exempt federal 
Schedule NJ-K-1 as “Pro rata share of S corporation income/                 obligations and/or obligations of the State of New Jersey or its 
loss.”                                                                      political subdivisions.
Column B – Income, Gains, Losses from Disposition of Corpo-                 Line 4e – In column A, enter the amounts applicable to opera-
rate Assets: List in column B the income, gains, losses, and New            tions and transactions prior to the complete disposition of cor-
Jersey adjustments derived from and applicable to the S corpo-              porate assets. In column B, enter the amounts applicable to the 
ration’s complete sale, deemed sale, exchange, distribution, or             complete disposition of corporate assets.
other disposition of all of its assets. The total will be reported on 
                                                                            Lines 6a–6f Subtractions
the shareholders’ Schedule NJ-K-1 as “Total gain/loss from the 
                                                                            Line 6a – Enter any interest income reflected in line 3 that is not 
disposition of assets.”
                                                                            subject to New Jersey Gross Income Tax pursuant to N.J.S.A. 
                                                                            54A:6-14 and 6-14.1, i.e., interest income on exempt federal 
Part I                                                                      obligations.
Line 1 – Enter the total number of shareholders as of the closing 
date of this return.                                                        Line 6b – Enter any gains reflected in line 3 that are not subject 
                                                                            to New Jersey Gross Income Tax pursuant to N.J.S.A. 54A:6-14 
Line 2 – Enter the total number of nonresident shareholders in-             and 6-14.1, i.e., gains or losses from exempt federal obligations 
cluded on line 1 above.                                                     and/or obligations of the State of New Jersey or its political 
Lines 3a and 3b – Enter the total number of nonconsenting                   subdivisions.
shareholders included on line 1 and the percentage of stock                 Line 6c – I.R.C. Section 179 expenses from federal Schedule K.
owned as of the closing date of this return. This number must 
match the number reported on Schedule SJC. See Schedule                     Line 6d – 50% of business meal expenses and 100% of enter-
SJC for more information.                                                   tainment expenses not deductible for federal purposes.
Line 4 – Enter the date the assets were fully disposed.                     Line 6e – Charitable contributions from federal Schedule K.
Line 5 – Enter the date the shareholders’ stock was fully                   Line 6f – In column A, enter the amounts applicable to oper-
disposed.                                                                   ations and transactions prior to the complete disposition of 
                                                                            corporate assets. In column B, enter the amounts applicable to 
Part II – New Jersey S Corporation Income (Loss)                            the complete disposition of corporate assets. Include any other 
Lines 2a–2e, 2h, 2k, and 2l – Enter the amounts of income or                items that are excludable or deductible from S corporation in-
loss as reported on the corresponding lines of your federal Form            come under the New Jersey Gross Income Tax Act.
1120-S, Schedule K. 
                                                                            Note: For tax years beginning on or after January 1, 2018, 
Lines 2f, 2g, 2i, and 2j – In column A, enter the amounts ap-                     I.R.C. Section 199 has been repealed for federal pur-
plicable to operations and transactions prior to the complete                     poses and no deduction is allowed for New Jersey pur-
disposition of corporate assets. In column B, enter the amounts                   poses. For New Jersey Corporation Business Tax and 
applicable to the complete disposition of corporate assets.                       Gross Income Tax purposes, the I.R.C. Section 199A is 
                                                                                  disallowed for tax years beginning on and after January 1, 
On line 2i report any gains or losses from the disposition of                     2018.
property in which a section 179 expense was claimed and 
passed through to the S corporation shareholders.                           Line 7 – For tax years beginning on or after January 1, 2004, if 
                                                                            the federal special bonus depreciation allowance or I.R.C. Sec-
Lines 4a–4e Additions                                                       tion 179 expense were deducted for assets placed in service 
Line 4a – Enter any State and municipal interest income that                on or after January 1, 2004, then a New Jersey depreciation 
was not included in line 3. Do not include interest received or             adjustment is required. Use Gross Income Tax Depreciation 
credited from obligations of the State of New Jersey or any of its          Adjustment Worksheet, GIT-DEP, to calculate the depreciation 
political subdivisions.                                                     adjustment for the assets’ initial years and for subsequent years 
                                                                            until property is fully depreciated or disposed of; for adjustments 
Line 4b – Enter the total taxes paid or accrued to the United               to federal Section 179 recapture income; and for adjustments 
States, a state, a political subdivision thereof, or the District           to the gain or loss from disposition of such assets. Enter the 
of Columbia on or measured by profits or income, or business                results on this line. This worksheet is available on the Division’s 
presence or business activity, including income taxes paid or               website.
accrued by the corporation on behalf of, or in satisfaction of 
the liabilities of, the shareholders of the corporation, taken as a 
                                                                            Part III – Allocation of S Corporation Income 
deduction on the CBT-100S, Schedule A and reflected in line 3, 
Part II of Schedule K Liquidated.                                           (Loss) 
                                                                            Line 1a – If you have completed Schedule O, Nonoperational 
Line 4c – Enter all interest on indebtedness incurred or contin-            Activity, enter the amount reported on Part I, line 34, of Sched-
ued, expenses paid and incurred to purchase, carry, manage or               ule O. If you have not completed Schedule O, enter zero on this 
conserve, and expenses of collection of the income or gain from             line. If the nonoperational income has already been deducted 
obligations the income or gain from which is deductible pursuant            from line 1 via adjustments made in Part II, make no adjust-
                                                                            ments on this line.

                                                                      - 11 -

Line 1b – Enter the net effect of the elimination of nonunitary            Line 6 – Enter the total of the allocated and non-allocated distri-
partnership income and expenses from Schedule P-1, Part II,                bution(s) for the resident shareholder and the allocated distribu-
line 4.                                                                    tion(s) for the nonresident shareholder. Federal rules governing 
                                                                           distributions must be followed.
Line 5 – If you have completed Schedule O, Nonoperational 
Activity, enter the amount reported on Part III, line 31, column C,        Part IV-B – New Jersey Earnings and Profits 
Total Allocated New Jersey Portion. If you have not completed 
Schedule O, enter zero on this line.                                       Account 
                                                                           This account reflects New Jersey C corporation earnings.
Line 7 – Subtract page 1, line 3 from page 1, line 2a. If the result 
is less than zero, enter zero. Do not enter a negative number.             Line 1 – Enter the beginning balance of the New Jersey E&P 
                                                                           account. For the first year as a New Jersey S corporation, the 
Part IV-A – Analysis of New Jersey Accumulated                             beginning balance of the earnings and profits account will be the 
                                                                           retained earnings of the corporation prior becoming an S corpo-
Adjustments Account (AAA)                                                  ration. If the retained earnings of the corporation prior to becom-
This account reflects New Jersey S corporation earnings.                   ing an S corporation is a negative amount, enter zero.
Note: If applicable, the allocation percentage from Schedule K             Line 2 – Enter any additions or adjustments that must be made 
      Liquidated, Part III, line 3 should be used for all allocated        for federal income tax purposes.
      amounts indicated below.
                                                                           Line 3 – Enter any dividends paid during the tax year from the 
Column A – New Jersey AAA, includes:                                       earnings and profits account. See instructions for Part IV-A, 
•  Resident – All items of income, loss, reduction, or distribution        line 6.
  regardless of where it is generated (include both allocated 
  and non-allocated amounts). Allocated and non-allocated                  Parts V, VI, and VII
  amounts refer to the corporation’s New Jersey allocation                 Complete Parts V, VI, and VII including shareholders’ full names 
  factor.                                                                  and Social Security numbers. List all shareholders in the S 
• Nonresident – Items of income, loss, reduction, or distribu-             corporation receiving either a federal or New Jersey K-1. If addi-
  tion generated from New Jersey sources (include allocated                tional space is required, include separate schedules in the exact 
  amounts only).                                                           format for the additional shareholders.
Column B – Non-New Jersey AAA, includes:                                   Determine each shareholder’s Pro Rata Share of Income/
•  Resident – No items.                                                    Loss based on Schedule K Liquidated, Part III, column A, 
                                                                           lines 6 and 7. Determine each shareholder’s Gain/Loss on 
• Nonresident – Items of income, loss, reduction, or distri-               Disposition of Assets based on Schedule K Liquidated, 
  bution generated from non-New Jersey sources (include                    Part III, column B, lines 6 and 7.
  non-allocated amounts only).
                                                                           Part V – For resident shareholders, indicate their pro rata share 
Line 1 – Enter the prior year ending balance of the New Jersey             of S corporation income/loss from all sources in column C. Enter 
Accumulated Adjustments Account (AAA). For the first year as               the gain/loss on disposition of assets from all sources in column 
a New Jersey S corporation, the beginning balance of the New               D. Enter the actual total amount of distributions (prior to and in-
Jersey AAA account will be zero.                                           cluding liquidating), whether in cash and/or property, in column 
                                                                           E.
Line 2 – Enter the net pro rata share of allocated and 
non-allocated S corporation income or loss for resident share-             Complete column F only if all shareholders are individuals, es-
holders and the net pro rata share of allocated S corporation              tates, or trusts. If you indicate on Form 329, Part I, line 13 that 
income for nonresident shareholders.                                       the Share of Pass-Through Business Alternative Income Tax will 
                                                                           be allocated to the shareholders, enter in column F each share-
Line 3 – Enter the total of the allocated and non-allocated                holder’s share of the amount from Form 329, Part I, line 13.
tax-exempt income or loss for resident shareholders and the al-
located tax-exempt income or loss for nonresident shareholders.            Part VI – For consenting nonresident shareholders, indicate 
                                                                           the income/loss allocated to New Jersey in column C and the 
Line 4 – Enter the total of the allocated and non-allocated other          income/loss not allocated to New Jersey in column D. Enter the 
reduction(s) for resident shareholders and the allocated other             gain/loss on disposition of assets allocated to New Jersey in col-
reduction(s) for nonresident shareholders. Other reductions                umn E and the gain/loss on disposition of assets not allocated to 
include taxes based on income paid by the S corporation (the               New Jersey in column F. Enter the actual total amount of distri-
taxes added back on Schedule K Liquidated, Part II, line 4b),              butions (prior to and including liquidating), whether in cash and/
health or life insurance paid by the S corporation, fines and              or property, in column G.
penalties paid by the S corporation, and club dues paid by the 
S corporation. Also, other reductions should include any other             Complete column H only if all shareholders are individuals, es-
adjustments for expenses that are nondeductible for federal                tates, or trusts. If you indicate on Form 329, Part I, line 13 that 
income tax purposes in determining income but must be taken                the Share of Pass-Through Business Alternative Income Tax will 
into consideration in calculating the ending balance of AAA in             be allocated to the shareholders, enter in column H each share-
the year the expenses are incurred or paid, and are not already            holder’s share of the amount from Form 329, Part I, line 13.
included in Schedule K Liquidated, Part II. Provide a schedule 
detailing other reductions.                                                Part VII – For nonconsenting shareholders, indicate the income/
                                                                           loss allocated to New Jersey in column C and the income/loss 
Line 5 – Enter the total of lines 1, 2, 3, and 4.                          not allocated to New Jersey in column D. Enter the gain/loss on 
                                                                           disposition of assets allocated to New Jersey in column E and 

                                                                     - 12 -

the gain/loss on disposition of assets not allocated to New Jer-            and the date and state where organized for each partnership. 
sey in column F. Combine the totals of column C and column E                Also, check the type of ownership (general or limited), the tax ac-
and enter on page 1, line 10 of the CBT-100S. Enter the total of            counting method used to reflect your share of partnership activity 
column H, Gross Income Tax Paid, on line 11. If the income al-              on this return (flow through method or separate accounting) and 
located to New Jersey is a loss, enter a zero (0) on lines 10 and           whether or not the partnership has nexus in New Jersey. Itemize 
11 of the CBT-100S.                                                         in column 7 the amount of tax payments made on behalf of the 
                                                                            taxpayer by partnership entities. Carry the total amount of taxes 
Complete column I only if all shareholders are individuals, es-             paid on behalf of taxpayer to page 1, line 8b. Include a copy of 
tates, or trusts. If you indicate on Form 329, Part I, line 13 that         Schedule NJK-1 from Form NJ-1065 if the partnership is filing in 
the Share of Pass-Through Business Alternative Income Tax will              New Jersey, or the federal Schedule K-1 if not. Any one member 
be allocated to the shareholders, enter in column I each share-             limited liability company must be included on this schedule. 
holder’s share of the amount from Form 329, Part I, line 13.
                                                                            Part II – Separate Accounting of Nonunitary Partnership 
                                                                            Income
Schedule PC                                                                 Taxpayers that use a Separate Tax Accounting Method on 
                                                                            nonunitary partnership investments must complete Part II to 
Per Capita Licensed Professional Fee
                                                                            compute the appropriate amount of tax. Pursuant to N.J.S.A. 
Professional corporations (PC) formed under N.J.S.A. 14A:17-1               54:10A-6, taxpayers must enter a single sales factor allocation 
et seq. or any similar laws of a possession or territory of the             in column 3. Do not use three factor allocation (property, payroll, 
U.S., a state, or political subdivision thereof, are liable for a fee       and sales) from the partnership return (Form NJ-1065).
on licensed professionals. 
Per N.J.S.A. 14A:17-3, examples of licensed professionals are: 
certified public accountants, architects, optometrists, profes-             Schedule P 
sional engineers, land surveyors, land planners, chiropractors,                       Schedule P has been discontinued.
physical therapists, registered professional nurses, dentists, os-
teopaths, physicians and surgeons, doctors of medicine, doctors 
of dentistry, podiatrists, veterinarians and, subject to the Rules of       Schedule R
the Supreme Court, attorneys at law.                                        Dividend Exclusion
Note:  Licenses acquired through vocational training and/or                           P.L. 2023, c.96, made a series of technical correc-
       apprenticeships within those trades are not considered                         tions, clarifications, and changes that affect Sched-
       licensed professionals. Examples include plumbers, elec-                       ule R. 
       tricians, HVAC technicians, cosmetologists, fire and bur-            • For privilege periods ending on and after July 31, 2023, the 
       glar alarm services, acupuncturists, hair stylists, elevator,          dividend exclusion is a pre-allocation exclusion. 
       escalator, and moving walkway mechanics, locksmiths, 
       and court reporters.                                                 • The historic ordering limitation (preventing the dividend ex-
                                                                              clusion from increasing net operating losses) is no longer 
The fee is assessed provided there are more than two profes-                  applicable. However, the change in historic ordering is pro-
sionals in the PC. The fee is assessed on professionals that are              spective only. Taxpayers cannot adjust NOLs and PNOLs 
owners, shareholders, and/or employees of the professional                    from privilege periods ending before July 31, 2023, using the 
corporation. The number of professionals should be calculated                 law change from P.L. 2023, c.96. 
using a quarterly average. The fee for each resident and non-
resident professional with physical nexus with New Jersey is                • GILTI is now treated as a dividend for New Jersey purposes 
$150. The fee for each nonresident professional without physical              and is reported on Schedule A, Part I, line 23b.
nexus with New Jersey is $150 multiplied by the allocation factor           • The maximum dividend exclusion increased from 95% to 
of the corporation. The fee is limited to $250,000 per year.                  100% from qualified subsidiaries if such dividends were 
                                                                              included in the taxpayer’s gross income on Schedule A. 
In the event of a period shorter than a year, the fee and limit may           However, a claw-back provision that requires a 5% reduc-
be prorated by months. A fraction of a month is deemed to be a                tion of the exclusion amount has been added (see N.J.S.A. 
month.                                                                        54:10A-4(k)(5)(F)(ii)). 
Check the box on page 1 to indicate the corporation is a profes-            Taxpayers cannot include the following as part of the dividend 
sional corporation.                                                         exclusion:
Part II, line 4 – Installment Payment: A 50% prepayment towards             • Money market fund or REIT income; 
the subsequent year’s fee is required with the current year’s 
return.                                                                     • FDII (this is not considered income from dividends or deemed 
                                                                              dividends for New Jersey Corporation Business Tax pur-
Part II, line 8 – Credit: Amount to be credited towards next year’s           poses); or 
fee. This fee is not eligible for refund.
                                                                            • The portion of I.R.C. § 78 gross-up deducted on line 38a of 
                                                                              Schedule A, Part I.
Schedule P-1                                                                Dividends and deemed dividends from all sources must be in-
Partnership Investment Analysis                                             cluded in Schedule A. However, taxpayers may exclude from 
Part I – Partnership Information                                            entire net income 100% of dividends from qualified subsidiaries, 
Itemize the investment in each partnership, limited liability com-          less the 5% clawback, if such dividends were included in the 
pany, and any other entity that is treated for federal tax purposes         taxpayer’s gross income on Schedule A. A qualified subsidiary 
as a partnership. List the name, the federal identification number,         is defined as ownership by the taxpayer of at least 80% of the 

                                                                      - 13 -

total combined voting power of all classes of stock entitled to           Line 11 – IRC § 179 limitation. Enter the lesser of line 1 or 
vote and at least 80% of the total number of shares of all other          $25,000. 
classes of stock, except non-voting stock which is limited and 
preferred as to dividends.                                                Line 12 – Enter the amount from Worksheet II, line 16, col-
                                                                          umn F. If the amount is positive, add it to the total reported on 
With respect to other dividends, the exclusion is limited to 50%          line 15. If it is negative, subtract it from the total.
of such dividends included in the taxpayer’s gross income on 
Schedule A, less the 5% clawback, provided the taxpayer owns              Line 13 – Enter any adjustment to depreciation that is an addi-
at least 50% of voting stock and 50% of the total number of               tion. This can include, but is not limited to, partnership activity.
shares of all other classes of stock. 
                                                                          Line 14 – Enter any adjustment to depreciation that is a deduc-
Any subsidiary that is owned less than 50% is not entitled to a           tion. This can include, but is not limited to, partnership activity.
dividend exclusion.
                                                                          Part II – New Jersey Depreciation for Gas, 
If the taxpayer received tiered dividends from a tiered subsidiary        Electric, and Gas and Electric Public Utilities 
that filed and paid tax in excess of the minimum tax to New Jer-          Gas, electric, and gas and electric utilities must complete this 
sey on those same dividends, do not include these dividends on            schedule to compute their New Jersey depreciation allowable for 
Schedule R.                                                               the single asset account, which is comprised of all depreciable 
The tiered dividend exclusion from certain subsidiaries is calcu-         property placed in service prior to January 1, 1998. The basis of 
lated separately on Form 332. See Form 332 for more informa-              this asset account will be the total federal depreciable basis as 
tion. The form is available on the Division’s website.                    of December 31, 1997, plus the excess of the book depreciable 
                                                                          basis over the federal tax basis as of December 31, 1997. This 
                                                                          basis will be reduced yearly by the federal basis of these assets 
         New Jersey follows the federal ownership attribu-
                                                                          sold, retired, or disposed of from January 1, 1998, to date.
         tion rule changes under I.R.C. § 958(b) and I.R.C. § 
         318 that broadened the federal attribution rules that            Note: Gas, electric and gas, and electric utilities may have ad-
         were retroactive to January 1, 2017, in addition to                    justments from both Part I and Part II. If the taxpayer has 
the already broad Corporation Business Tax attribution rules.                   amounts reported on Schedule S, Part II, lines 1 through 
                                                                                5, enter the amount from Schedule S, Part I, line 15 
Schedule PT – Previously Taxed Dividends: If you had sub-                       on Schedule S, Part II, line 6b, not Schedule A, Part I, 
sidiary dividend income that was reported in a previous tax year                line 36a or 36b.
for New Jersey Corporation Business Tax purposes and for 
which you paid greater than the New Jersey minimum tax in that 
                                                                          Worksheet I
tax year and those same dividends are included in your entire 
net income this tax year, complete Schedule PT in conjunction             Column A – Sort the property you acquired and placed in 
with Schedule R. See Schedule PT for more information. The                service during the tax year 2023 according to its classification 
schedule is available on the Division’s website.                          (3-year property, 5-year property, etc.) as shown in column A.
                                                                          Column B – Use the federal basis adding back the special de-
                                                                          preciation reduction.
Schedule S
All taxpayers must complete this schedule and must include a              Column C – Enter the bonus depreciation claimed (50% or 
copy of a completed federal Depreciation Schedule, Form 4562.             30%). If both categories of bonus depreciation are claimed, pro-
Schedule S provides for adjustments to depreciation and certain           vide a rider detailing the assets that used 50% and the assets 
safe harbor leasing transactions. Gas, electric and gas, and              that used 30%.
electric utilities must also complete Schedule S, Part II, for prop-
erty placed in service prior to January 1, 1998.                          Column D – Enter the convention that was used for federal pur-
                                                                          poses. The applicable conventions are Half-Year Convention, 
Part I – Depreciation and Safe Harbor Leasing                             Mid-Quarter Convention, or the Mid-Month Convention.
         New Jersey had decoupled from I.R.C. §168(k)                     Column E – Enter the method that was selected for federal 
         bonus depreciation and I.R.C. § 179 expensing pro-               purposes. The applicable methods are 200% declining balance, 
         visions. See N.J.S.A. 54:10A-4(k)(12) and N.J.S.A.               150% declining balance, or straight-line.
         54:10A-4(k)(13). Adjustments must be made 
accordingly.                                                              Column F – Enter the amount of federal depreciation claimed 
                                                                          on federal Form 4562.
Line 1 through Line 6 – These lines detail the depreciation 
deduction reflected in the Computation of Entire Net Income               Column G – To determine the New Jersey depreciation, multiply 
(Schedule A, Part I) into several categories. In most circum-             column B by the applicable rate from the appropriate table (See 
stances, the information can be found on federal Form 4562.               IRS Pub. 946 for complete tables). Enter the total on Sched-
                                                                          ule S, Part I, line 9.
Line 7 – Enter the amount reported on the federal Form 4562.
                                                                          Worksheet II
Line 8 – Enter the amount of current depreciation on property             Column D – Enter the federal depreciation claimed up to the 
placed in service in prior years carried over into the current            date the property was sold.
period. 
                                                                          Column E – Enter the New Jersey depreciation claimed up to 
Line 9 – Enter the amount from Depreciation Worksheet I,                  the date the property was sold.
line 10, column F. 

                                                                    - 14 -

Column F – Enter the difference between column D and col-                   Part I – Net Operating Loss Carryovers Generated as a 
umn E. If the amount is positive, there is an excess of deprecia-           C Corporation
tion that must be added to the federal amount claimed on Part I,            Line 1 – Enter the total Prior Net Operating Loss Conversion 
line 7. If the amount is negative, there is a deficiency that must          Carryover (PNOL) generated as a C corporation (for New Jersey 
be deducted from Part I, line 7.                                            Corporation Business Tax purposes).
                                                                            Line 2 – Enter the total Post Allocation Net Operating Loss 
                                                                            Carryover (NOL) generated as a C corporation (for New Jersey 
Schedule SJC
                                                                            Corporation Business Tax purposes). 
Shareholder Jurisdictional Consent
Initial information. Complete Part I if this information has not            Line 3 – Enter the total NOL that is available. Add line 1 and 
been previously reported.                                                   line 2. This is the amount that will be entered on Schedule A, 
                                                                            Part I, line 42 and Schedule A, Part II, line 4.
Changes to previously reported information. Complete Part II 
if you need to make changes to previously reported information.             Part II – Available Net Operating Loss Deductions 
See TB-105 and Answers to Frequently Asked Questions on the                 Line 1 – Enter the amount reported on Schedule A, Part I, 
New Jersey S Corporation Procedural Changes.                                line 42. 
Note:  Any business that filed for and was granted either a New             Note:  The loss reported each year must not include any amount 
     Jersey S or QSSS election (prior to 2023) meets the                           excluded from federal taxable income under subpara-
     requirement for having previously provided the federal                        graph (A), (B), or (C) of paragraph (1) of subsection (a) of 
     acceptance letter.                                                            Internal Revenue Code (26 U.S.C. s.108). 
                                                                            Line 2 – Enter the amount reported on Schedule A, Part II, 
                                                                            line 4.
Schedule NJ-K-1 
Shareholder’s Share of Income/Loss                                          Line 3 – Add line 1 and line 2. This is the total amount of NOL 
A copy of each shareholder’s Schedule NJ-K-1 must be included               used in the current year. The amount can only be generated 
with the CBT-100S. A copy of each NJ-K-1 must be kept as                    while the taxpayer was a C corporation (for New Jersey Corpo-
part of the corporation’s records, and a separate copy must be              ration Business Tax purposes) or part of a combined group filing 
supplied to each individual shareholder on or before the date               a combined return for New Jersey purposes. It cannot exceed 
on which the CBT-100S is to be filed. The instructions for this             the total of the amounts reported on Schedule A, Part I, line 41 
schedule can be found on the reverse side of the form.                      and Schedule A, Part II, line 3.
                                                                            Any taxpayer claiming an NOL deduction must submit the 
                                                                            last Net Operating Loss Schedule/Worksheet prior to con-
Form NJ-1040-SC                                                             version to S Corporation (from CBT-100 or CBT-100U).
Payment on Behalf of Nonconsenting 
Shareholders
A copy of each NJ-1040-SC filed by the corporation on behalf                Additional Forms and Instructions
of any nonconsenting shareholder must be included with the                  Most of the forms and schedules needed to complete the return 
CBT-100S. A copy must be retained by the corporation as part of             are included with Form CBT-100S. However, there are several 
its records, and a copy must also be supplied to the shareholder            stand alone forms and schedules that taxpayers can obtain on 
on whose behalf the NJ-1040-SC was filed on or before the                   the Division’s website. This includes: 
due date of the CBT-100S. The instructions for this form can be 
found on the reverse side of the form.                                      • Schedule N: Nexus – Immune Activity Declaration and the 
                                                                              Nexus Questionnaire 
                                                                            • Schedule O: Nonoperational Activity
Form 500S
                                                                            • Schedule PT: Dividend Exclusion for Certain Previously 
Computation of the Available Converted Net                                    Taxed Dividends 
Operating Losses
For New Jersey Corporation Business Tax purposes, net oper-                 • Form 301: Urban Enterprise Zone Investment Tax Credit
ating losses and net operating loss carryovers have a 20-year               • Form 302: Redevelopment Authority Project Tax Credit 
carryover period and can only be carried forward. 
                                                                            • Form 304: New Jobs Investment Tax Credit
                                                                              
For tax years beginning on and after January 1, 2020, the fed-              • Form 305: Manufacturing Equipment and Employment Invest-
eral rules and regulations governing consolidated return net 
                                                                              ment Tax Credit
operating losses and net operating loss carryovers apply to the 
New Jersey net operating loss carryover provisions to the extent            • Form 306: Research and Development Tax Credit
they are consistent with the provisions of the New Jersey Corpo-
ration Business Tax Act. If the New Jersey and federal provisions           • Form 311: Neighborhood Revitalization State Tax Credit
differ, the New Jersey Corporation Business Tax Act provisions              • Form 312: Effluent Equipment Tax Credit
govern. New Jersey generally follows the federal rules governing 
mergers, acquisitions, reorganizations, spin-offs, split-offs, disso-       • Form 313: Economic Recovery Tax Credit
lution, bankruptcy, or any form of cessation of a business. New             • Form 315: AMA Tax Credit
Jersey also follows any other provision of the federal rules that 
limits or reduces federal net operating losses and federal net op-          • Form 316: Business Retention and Relocation Tax Credit
erating loss carryovers. 

                                                                      - 15 -

• Form 317: Sheltered Workshop Tax Credit
• Form 318: Film Production Tax Credit
• Form 319: Urban Transit Hub Tax Credit
• Form 320: Grow New Jersey Tax Credit
• Form 321: Angel Investor Tax Credit
• Form 322: Wind Energy Facility Tax Credit
• Form 323: Residential Economic Redevelopment and Growth 
  Tax Credit
• Form 324: Business Employment Incentive Program Tax 
  Credit
• Form 325: Public Infrastructure Tax Credit
• Form 326: Drug Donation Program Tax Credit
• Form 327: Film and Digital Media Tax Credit
• Form 328: Tax Credit for Employers of Employees With 
  Impairments
• Form 329: Pass-Through Business Alternative Income Tax 
  Credit
• Form 330: Apprenticeship Program Tax Credit
• Form 331: Tax Credit for Employer of Organ/Bone Marrow 
  Donor
• Form 332: Tiered Subsidiary Dividend Pyramid Tax Credit
• Form 334: Innovation Evergreen Fund Tax Credit
• Form 335: Unit Concrete Products Tax Credit

                                                          - 16 -