NJ-K-1: Shareholder's Share of Income/Loss (2024)
New Jersey · NJ Division of Taxation · Used for tax years 2024
Schedule NJ-K-1 (Form CBT-100S) reports a shareholder’s share of S corporation income or loss allocated to and outside New Jersey. It also reports distributions, payments made on the shareholder’s behalf, the shareholder’s share of Pass-Through Business Alternative Income Tax, an
Who files this form
Schedule NJ-K-1 reports a shareholder’s share of S corporation income, losses, and other tax items.
The form directs shareholders to include this schedule with their New Jersey Income Tax return and to follow the reporting instructions in their return packet and publication GIT-9S, Income From S Corporations.
What you'll need
To complete the schedule, have these forms and records available:
- The shareholder’s identifying number, the corporation’s federal employer identification number, and both parties’ names and addresses.
- Federal Form 1120-S for the shareholder’s percentage of stock ownership.
- Schedule K or Schedule K Liquidated for income, losses, payments, distributions, Pass-Through Business Alternative Income Tax, accumulated adjustments, and earnings and profits.
- Interest-payment records, including amounts reportable on federal Form 1099-INT.
- Records of debts between the shareholder and corporation at year-end or before the final distribution.
- The shareholder’s year-end residency status, consenting or nonconsenting status, and final distribution date, if applicable.
How to file
Include Schedule NJ-K-1 with your New Jersey Income Tax return. Follow the reporting instructions in your return packet and publication GIT-9S, Income From S Corporations, available on the Division of Taxation’s website.
The supplied text does not give a mailing address or e-filing directions for this schedule.
Common mistakes
- Leaving out the schedule: The form says Schedule NJ-K-1 must be included with the shareholder’s New Jersey Income Tax return.
- Skipping the shareholder reporting instructions: Follow the instructions in the New Jersey Income Tax return packet and publication GIT-9S.
- Overlooking the annual composite-return election: Every shareholder participating in an NJ-1080-C composite return must elect in writing each year using Form NJ-1080E or a substantially similar form.
Questions people ask
Which residency status should be shown?
Use the shareholder’s residency status at the end of the year in Part I, line 2.
Where does the stock ownership percentage come from?
Use the shareholder’s percentage of stock ownership reported on federal Form 1120-S for Part I, line 1.
What interest belongs in Part V, line 1?
Enter interest paid to the shareholder that the S corporation should report on federal Form 1099-INT. Also include other interest paid to the shareholder that the corporation deducted in arriving at the income reflected in Part II, line 8 of Schedule K or Schedule K Liquidated.
Can a nonresident shareholder participate in a composite return?
A New Jersey S corporation doing business in New Jersey may file Form NJ-1080-C for qualified nonresident shareholders who elect to participate. Each participating shareholder must make a written election every year using Form NJ-1080E or a substantially similar form.
Where can I find more information?
See publication GIT-9S, Income From S Corporations, on the Division of Taxation’s website.