Form 1099 Information Reporting

Out-of-state payors who are not required to be registered in New
Jersey (i.e., they have no nexus with New Jersey) may register
solely for the purpose of withholding New Jersey income tax for their
New Jersey pensioners and annuitants.
G. Registering to Withhold Tax - If you are not already registered with
the State of New Jersey, you must complete Form NJ-REG
(Business Registration Application). The forms and instructions you
need to withhold State income tax will be sent to you as soon as
your application is processed.
For more information about your Gross Income Tax withholding
requirements or to request an NJ-REG, call the Division of
Taxation's Automated Tax Information System at 1-800-323-4400
(Touch-tone phones within NJ, NY, PA, DE, and MD) or 609-8264400 (Touch-tone phones anywhere). To speak with a Division
representative, call the Division of Taxation Customer Service
Center at 609-292-6400.
Form 1099 information returns must be filed with the New Jersey
Division of Taxation by all payors of interest and dividends (including
banks, savings and loan associations, building and loan associations,
and savings banks); lessees or mortgagors of real or personal property;
fiduciaries; employers; and all other payors of interest, rents, salaries,
wages, premiums, annuities, compensation, remuneration, or other
gains, profits or income, including those who are required to file Federal
Form 1099 or any of the Form 1099 designations, when the amount
paid or credited is $1,000 or more in a calendar year or if any New
Jersey income tax was withheld from the payment.
Payors must file Form 1099 information returns with a letter of
transmittal on or before February 15 following the close of each
calendar year. However, the Division will consider these forms timely
filed if they are submitted no later than the Federal filing deadline of
February 28, 2005. Form 1099 information returns with a letter of
transmittal should be sent to: State of New Jersey-Division of Taxation,
Revenue Processing Center, Gross Income Tax, PO Box 248, Trenton,
NJ 08646-0248.
The Division of Taxation’s requirements for filing Form 1099 information
returns are, in order of preference:
1. A copy of the magnetic tape records for the full calendar year
provided to the IRS (with IRS specifications) instead of actual 1099
forms, edited to delete all listings of recipients of less than $1,000;
2. A copy of the magnetic tape provided to the IRS (as above) without
deleting recipients of less than $1,000; or
3. Copies (either an additional carbon or photocopy) of all 1099 forms
for the full calendar year submitted to the IRS for amounts of $1,000
or more; or
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4. Copies of all 1099 forms for the full calendar year submitted to the
IRS without deleting recipients of less than $1,000.
In addition to the above, beginning with real estate transactions
occurring after December 31, 1995, each person required to report the
proceeds from real estate transactions to the IRS on Federal Form
1099-S (or any other form which the Internal Revenue Code may
designate) pursuant to Section 6045(e) of the Federal Internal Revenue
Code is required to submit all such reports to the Division of Taxation
when the real estate being sold or exchanged is partially or entirely
located in New Jersey. Copies of Federal Form 1099-S must be sent
to: New Jersey Division of Taxation, PO Box 187, Trenton, NJ 086950187.
Please Note: Any payer who is required to file Form 1099-S
information returns and is also required to submit other information
returns must send the information returns attributable to real estate
transactions to PO Box 187, and must send all other information returns
to State of New Jersey, Division of Taxation, Revenue Processing
Center, PO Box 248, Trenton, NJ 08646-0248.
Generally, the Division of Taxation’s magnetic tape reporting
specifications conform with those established by the Social Security
Administration. Specific instructions for filing Form 1099 using
magnetic media can be obtained by calling the IRS Computer Center at
1-866-455-7438 or your local IRS office, or by writing to: IRS
Martinsburg Computing Center, 230 Murall Drive, Kearneysville, WV
The Division of Taxation participates in a joint program with the IRS that
permits payers filing 1099 forms on magnetic tape who register in the
combined Federal/State Reporting Program to file with the Federal
government only. The IRS will then provide New Jersey with a copy of
this information. There are no special notices or requirements in New
Jersey for filers to participate in this program. Contact the IRS for
additional information.
Every employer, payor of pension and annuity income or payor of
gambling winnings subject to the tax is required to keep all pertinent
records available for inspection by authorized representatives of the
New Jersey Division of Taxation.
Such records must include the amounts and dates of all wage payments
subject to New Jersey Gross Income Tax; the names, addresses and
occupations of employees receiving such payments; the periods of their
employment; their social security numbers; their withholding exemption
certificates; the employer’s New Jersey Taxpayer Identification Number;
record of weekly, monthly, quarterly remittances and/or returns and
annual returns filed; and the dates and amounts of payments made. In
addition, an employer must maintain records of days worked inside and
outside of New Jersey for all nonresident employees.