Will I pay capital gains on the sale of a Qualified Small Business Stock (QSBS) that was held for 10 years on my NJ State Taxes?

[DavidD66]

Yes, you will pay tax on your gain from the sale of Qualified Small Business Stock (QSBS).  New Jersey does not conform to the federal Qualified Small Business capital gains tax exemption. They are just of five states that does not conform to he federal Qualified Small Business capital gains tax exemption. QSBS gains are taxed at the full state income tax rate. 

[trastoft]

Thank you for your quick response.  I plugged in all the necessary information on my tax return and it’s not showing that I owe any capital gains.  I know I’ve put the information in correctly.  Would Turbo Tax estimate it later & send me a bill with a late charge?

[KeshaH]

If you'd like, we can look at your return and see exactly what you see to  help come to a resolution. The return will be scrubbed and won't include any of your personal details.

If you're using TurboTax Online:

Once you're logged in to your account,

- on the left hand panel, click on Tax Tools and then choose Tools

- on the pop up window, select Share my file with Agent

- you'll see a message saying you'll give us a copy of your tax return. Your personal information will be changed so we can't see any private information.

- click okay and you'll get another message with a token

If you're using TurboTax Desktop:

• Click on Online in the top menu of TurboTax Desktop for Windows
• Select 'Send Tax File to Agent'
• Write down or send an image of your token number and state then place in this issue.
• We can then review your exact scenario for a solution

Please reply to this message with your token so that we can further assist you. Let us know all the states, if any, that are included on the return.