NOLs, Throwout, and Right to Apportion February 3, 2009 Jim - PowerPoint PPT Presentation

Reed Smith Teleseminar Series New Jersey Corporate Tax Legislative Update: NOLs, Throwout, and Right to Apportion February 3, 2009 Jim Leonard Lee Evans Chief Mary Ellen Peppard NJ Division of Taxation NJ Chamber of Commerce David Gutowski Kyle Sollie Reed Smith LLP

Introductions and Overview Getting the legislation enacted Applying the new rules Taxpayer traps / opportunities 2 www.reedsmith.com/njtax

Getting the Legislation Enacted � Background ― legislative process � Lobbying efforts ― several years in the making � Current climate in Trenton � Other Chamber initiatives � Predictions for next budget cycle 3 www.reedsmith.com/njtax

NJ Chamber of Commerce Contact Information New Jersey Chamber of Commerce 216 West State Street Trenton, NJ 08608 Jim Leonard 609.989.7888, Ext. 118 jim.leonard@njchamber.com Mary Ellen Peppard 609.989.7888, Ext. 125 maryellen.peppard@njchamber.com 4 www.reedsmith.com/njtax

Applying the New Legislation � Application of the new legislation � Throwout repeal � Regular place of business repeal � NOL extension � Other initiatives 5 www.reedsmith.com/njtax

Taxpayer Traps and Opportunities � Throwout � Refund and Section 8 claims � Closing agreements for IHCs � Impact of throwout repeal on AMA � NOLS � NOL suspension—four more years � Dividends from non-unitary subsidiaries 6 www.reedsmith.com/njtax

Reed Smith Contact Information David J. Gutowski 215.851.8874 dgutowski@reedsmith.com Kyle O. Sollie 215.851.8852 ksollie@reedsmith.com For articles, court transcripts, and other interesting NJ information visit us at www.reedsmith.com/njtax 7