Applying the New Jersey Corporation Business Tax Act to a foreign corporation that employs one employee to telecommute full-time from her New Jersey residence does not violate the federal Constitution, the Superior Court of New Jersey Appellate Division held March 2 (Telebright Corp. Inc. v. Director, New Jersey Division of Taxation, N.J. Super. Ct. App. Div., No. A-5096-09T2, 3/2/12).
Addressing the due process clause, Judge Susan Reisner said, “[t]axing a business based on its employing one full-time employee in the taxing state does not violate the Due Process Clause.” She added the corporation, Telebright Corp. Inc., “has sufficient ‘minimum connection' with this State to permit taxation consistent with the Due Process Clause.”