New Jersey Business law/Taxes

**OneLungMcClung** · October 9th, 2007, 10:33 AM

Just a quick heads up for any of you businessmen or who know any businessmen.

A friend of the family was over a few nights ago. Mr. J. is a well established businessman who is partial owner in a Multi Million dollar Corporation. Let's just say that he and his partners are doing well, and that they employ people around the world, and ship around the world. The plus here is that they have created over 200 jobs in the united states, and have managed to keep operation in the US going, including manufacturing and retail. Well, the nature of multi-million dollar businesses is that you may eventually buy a smaller business and expand your operations.

Which brings me to New Jersey. Mr J and his compatriots, as he tells it, got quite a surprise two years ago when they purchased a business. Where that business had its business license was not in New Jersey..., but that smaller business did have some operations, including it's main delivery address, in the PRNJ.

So. Mr J discovers, much to his dismay, the joys of New Jersey tax law:

Apparently, if any part of anything in your business is located in New Jersey, or does business in New Jersey, it subjects THE ENTIRE CORPORATION, across the US, to New Jersey taxes.

That's right... Mr J and friends' Multi-Gazillion dollar empire suddenly had to pay taxes on all of its revenue, even the stuff that's offshore but run off of a US (in this case Nevada) based corporate license.

The company that was purchased had revenues somewhere in the high $800-$900 thousand range....but ALL operations, even those that had nothing to do with New Jersey, had to pay Jersey taxes. You can imagine that was a surprise.

Its funny why Jersey can't figure out why big business won't come to town and why they have such a huge poverty level. Pinkos. Mr J's Corp. like any other smart corporation, moved the operation, rather than pay for something that isn't theirs. I think to Maryland, or maybe to Nevada. Sucks for the workers in NJ, bonus for the workers in the new location, and all around pie in the face, again, to NJ.

SO - I'm just warning all of you who are business - be careful if you have to deal with the Socialists across the river.

**knight0334** · October 9th, 2007, 10:48 AM

California tried that crap too years ago.. they(CA) attempted to levy against a Florida company, the State of Florida pretty much told the State of California to go fly a kite and that they couldn't touch assets that wasn't in their jurisdiction. FL made threat of arrest of any CA LEO or public official that came to FL in attempt to seize assets or monies.

NJ has no authority to tax or levy against things that aren't in the State of NJ. Only US Congress can do that.

**OneLungMcClung** · October 9th, 2007, 11:07 AM

Originally Posted by knight0334

California tried that crap too years ago.. they(CA) attempted to levy against a Florida company, the State of Florida pretty much told the State of California to go fly a kite and that they couldn't touch assets that wasn't in their jurisdiction. FL made threat of arrest of any CA LEO or public official that came to FL in attempt to seize assets or monies.

NJ has no authority to tax or levy against things that aren't in the State of NJ. Only US Congress can do that.

Good story on CA. And nice thought on the US congress.

I can't speak for the Company, only tell the story as it was told to me....Its feasible that NJ would have no authority- but I feel if a smart business guy with over 40 years in business under his belt, who has partners with the same aptitude, were relaying this story that there is something to what he is saying.

Mr J's corporation no doubt has a tax lawyer, and knowing Mr J I'll tell you that he wouldn't hire any slunk legal firm.

All I can do is relay the story - I don't want any of you to face surprises when dealing with the PRNJ. They are evil commies.......

**KeithPA** · October 9th, 2007, 11:47 AM

Originally Posted by knight0334

California tried that crap too years ago.. they(CA) attempted to levy against a Florida company, the State of Florida pretty much told the State of California to go fly a kite and that they couldn't touch assets that wasn't in their jurisdiction. FL made threat of arrest of any CA LEO or public official that came to FL in attempt to seize assets or monies.

NJ has no authority to tax or levy against things that aren't in the State of NJ. Only US Congress can do that.

OJ Simpson
Civil Judgement was in Cali, nothing in FL can be touched.

There's a reason NJ is know as income tax hell.