American Telephone & Telegraph Co. v. Director, Division of Taxation

CRABTREE, J.T.C.

Plaintiff, a New York corporation doing business in New Jersey, seeks review of deficiency assessments made by defendant under the Corporation Business Tax Act (CBTA), N.J.S.A. 54:10A-1 et seq. for calendar years 1969 through 1974. The assessments are based upon defendant’s exclusion of certain receipts from the receipts fraction specified in N.J.S.A. 54:10A-6 (hereafter, § 6). That statute apportions a corporation’s business activity in New Jersey for tax purposes on the basis of a three-part business allocation factor, composed of the average of a property fraction, a…