Nonresident taxpayers will not be deemed to be carrying on a trade or business in New Jersey for Gross Income Tax purposes if their only
activity is the buying and selling of intangible personal property and;
- Such intangible personal property is for the account of the trade or business only, and
- The trade or business does not hold the intangible personal for sale to customers.
This amendment places New Jersey on equal footing with many of its neighboring states that already have similar provisions in their state income tax codes.
This amendment was signed into law on September 14, 1998 and is effective for tax years ending after enactment.