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April 14, 2022
2022-0624

Due dates extended for taxpayers electing New Jersey Business Alternative Income Tax (NJ BAIT)

The New Jersey Division of Taxation (NJ DOT) has extended several important deadlines for the New Jersey Business Alternative Income Tax (NJ BAIT). The NJ BAIT is an elective pass-through entity (PTE) tax implemented as a workaround to the $10,000 limitation on the federal deduction for state and local taxes under IRC Section 164(b)(6) (e.g., the SALT Cap).

The NJ DOT extended due dates for the following NJ BAIT requirements from March 15, 2022, to June 15, 2022:

  • 2021 PTE election
  • 2021 Form PTE-100 tax return
  • 2021 Form PTE-200-T extension of time to file
  • 2021 revocation forms
  • 2022 estimated payments

The 2021 Form PTE-200-T, Extension of Time to File, grants a six-month extension to file the Form PTE-100 to September 15, 2022. Although the original due date for the Form PTE-100 is now June 15, 2022, the extended due date remains September 15, 2022.

For more on the NJ BAIT, see Tax Alerts 2022-0128 and 2020-0110.

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Contact Information
For additional information concerning this Alert, please contact:
 
State and Local Taxation Group
   • Bill Korman (William.Korman@ey.com)
   • Mike Puzyk (Michael.Puzyk@ey.com)
 

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