Some decide to adapt the old rules to the new world, like Patrick Stickles, who fronts beloved New Jersey punk act Titus Andronicus.

FORBES: Titus Andronicus Find A New Way To Support Local Businesses

The New Jersey Income Tax Act requires taxpayers to claim losses in accordance with their Federal method of accounting, including federal basis rules.

FORBES: Madoff Investors Receive New Jersey Tax Refunds

The New Jersey Gross Income Tax Act does not follow federal law regarding carry-forward and carry-back losses and the loss on the 2008 New Jersey individual income tax return can only be netted against gains or income reported in the category Net gains or income from disposition of property.

FORBES: Madoff Investors Receive New Jersey Tax Refunds