New Jersey Administrative Code
Title 18 - TREASURY - TAXATION
Chapter 7 - CORPORATION BUSINESS TAX ACT
Subchapter 21 - COMBINED RETURNS
Section 18:7-21.24 - De-combination of a combined group

The Director, upon audit of the combined return and review of the facts and circumstances, may decombine and require a member or members to file a separate return instead of the member(s) being included as part of the combined group filing a mandatory unitary combined return, if the Director determines that the member(s) were not unitary and the principle purpose of including the members was to either shelter income, dilute the allocation factor of the combined group, improperly increase the combined group net operating losses, or the inclusion was for the purpose of sharing tax credits that were not related to any function of the combined group.