{"data":{"id":"us-nj/n.j.-stat.-54a-5-12","jurisdiction":"us-nj","citation":"N.J. Stat. § 54A:5-12","heading":"Limits on shareholder's losses","body":"14.  a. The aggregate amount of losses or deductions of an S corporation taken into account by a shareholder of the S corporation for a taxable period pursuant to section 11 of P.L.1993, c.173 (C.54A:5-9), shall not exceed the shareholder's combined adjusted basis, determined in accordance with section 13 of P.L.1993, c.173 (C.54A:5-11), in the stock of the S corporation and any indebtedness of the S corporation to the shareholder.\nb.     Any loss or deduction of an S corporation which is disallowed for a taxable period pursuant to subsection a. of this section shall not be treated as incurred by the corporation in any succeeding taxable period with respect to that shareholder.\nL.1993,c.173,s.14.","path":["TITLE 54A NEW JERSEY GROSS INCOME TAX ACT"],"source_url":"https://pub.njleg.state.nj.us/statutes/STATUTES-TEXT.zip","current_through":"P.L.2025, c.405, and J.R.22","vintage":"","retrieved_at":"2026-08-27T17:54:13Z","sha256":"f633745ef41c2104a7d4a33bea9a4802ed357e0d710d25146d6e07f09de4cc30","source_id":"us-nj","stale":true,"prev":"us-nj/n.j.-stat.-54a-5-11","next":"us-nj/n.j.-stat.-54a-5-13"},"notice":"GroundRules: Original legal text. Not legal advice."}