New Jersey Introduces Temporary 2.5% Surtax in Addition to Corporation Business Tax

The governor of the U.S. state of New Jersey signed the Fiscal Year 2025 Budget into law on 28 June 2024, including Bill A-4704/S-3513, which introduces a 2.5% surtax. Referred to as the "Corporate Transit Fee", the 2.5% surtax is imposed on taxpayers subject to corporation business tax (CBT) that have New Jersey allocated taxable net income in excess of USD 10 million for privilege periods beginning on and after 1 January 2024 through 31 December 2028. The term "allocated taxable net incom…