Reduces CBT rate; retroactive to January 1, 2020.

This bill reduces New Jersey's Corporation Business Tax (CBT) rate for most corporations to 2.5% of taxable net income, effective retroactively from January 1, 2020. It directly affects corporations operating in New Jersey that pay the CBT, including S corporations and professional entities, by lowering their tax burden on net income. The key mechanism adjusts the tax rate calculation under Section 5 of the existing law, replacing higher historical rates (like 9% for older periods) with the new 2.5% rate for reports covering periods ending after December 31, 2019. This change will result in reduced tax payments or refunds for affected businesses for the 2020-2023 tax years.