Unexpected relief may be coming for companies that are owed millions in unpaid incentive grants from New Jersey.
The Business Employment Incentive Program (known as BEIP) provided companies with grants of up to 80% of the income tax withholdings created from new job creation in the state. That program is no longer active; however, many companies are still owed grants because the Legislature chose not to fund the program entirely last year. To account for this problem, Governor Christie has proposed that these grants be converted to refundable tax credits.
There also may be additional incentive opportunities under the Grow New Jersey program if your company plans on making capital investments in the state. If you would like to know more about the proposal or Reed Smith’s state tax credit and incentives practice in New Jersey, please contact one of the listed authors.
About Reed Smith State Tax Reed Smith’s state and local tax practice is composed of more than 30 lawyers across seven offices nationwide. The practice focuses on state and local audit defense and refund appeals (from the administrative level through the appellate courts), as well as planning and transactional matters involving income, franchise, unclaimed property, sales and use, and property tax issues. View our State Tax team.
Client Alert 2015-049