Bill Text: NJ A5174 | 2016-2017 | Regular Session | Introduced
Bill Title: Provides gross income tax credit for certain donations assisting farmers affected by state of emergency.
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2017-08-24 - Introduced, Referred to Assembly Agriculture and Natural Resources Committee [A5174 Detail]
Download: New_Jersey-2016-A5174-Introduced.html
Sponsored by:
Assemblyman BOB ANDRZEJCZAK
District 1 (Atlantic, Cape May and Cumberland)
Assemblyman RONALD S. DANCER
District 12 (Burlington, Middlesex, Monmouth and Ocean)
SYNOPSIS
Provides gross income tax credit for certain donations assisting farmers affected by state of emergency.
CURRENT VERSION OF TEXT
As introduced.
An Act providing a gross income tax credit for certain donations and supplementing Title 54A of the New Jersey Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. A taxpayer shall be allowed a credit against the tax otherwise due pursuant to the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., for monetary donations made or the value of goods donated by the taxpayer to a non-profit corporation or association seeking donations for farmers operating in an area for which a state of emergency has been declared by the President of the United States or the governor of the applicable state, or an area declared an agricultural disaster area by the United States Secretary of Agriculture. The credit allowed pursuant to this subsection shall not exceed $10,000 in any one tax year.
b. To qualify for the credit allowed pursuant to this section, the taxpayer shall obtain certification from the non-profit corporation or association to whom the donation was made.
(1) The New Jersey Secretary of Agriculture, in consultation with the Director of Taxation in the Department of the Treasury, shall prescribe the form for the certification document, and shall make the document publicly available on its Internet website.
(2) The certification shall specifically indicate the date on which the donation was made, a description of the donated goods, as applicable, and the amount of the monetary donation or the estimated fair market value of the donated goods.
(3) Upon receipt of a donation from a taxpayer, the non-profit corporation or association shall be authorized to execute the taxpayer's certification document once a good faith effort has been taken to verify the accuracy of the information contained therein.
(4) In filing a tax return that includes a claim for the credit allowed pursuant to this section, the taxpayer shall include a copy of the certification.
c. The secretary shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to effectuate the purposes of this section.
2. This act shall take effect immediately and apply to taxable years beginning on or after January 1 next following the date of enactment.
STATEMENT
This bill would provide a tax credit of up to $10,000 in any one tax year for monetary donations made or the value of goods donated by a taxpayer to a non-profit corporation or association seeking donations for farmers operating in areas affected by a state of emergency.
To qualify for the tax credit, the taxpayer would be required to obtain certification from the non-profit corporation or association to whom the donation was made and submit the certification when filing a tax return that includes a claim for the credit. The Secretary of Agriculture, in consultation with the Director of Taxation in the Department of the Treasury, would be required to prescribe the form of the certification document and make the document available on its Internet website. Once a donation has been made, the non-profit corporation or association would be authorized to execute the certification document after making a good faith effort to verify the information contained therein.
This bill is intended to encourage monetary donations and the donation of goods, such as agricultural equipment, products, and supplies, to farmers in areas for which the President or a governor has declared a state of emergency or the United Stated Secretary of Agriculture has declared an agricultural disaster area.
