Bill Text: NJ A5556 | 2020-2021 | Regular Session | Introduced
Bill Title: Provides gross income tax credits to taxpayer who purchase certain low-speed electric bicycles.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2021-05-05 - Introduced, Referred to Assembly Environment and Solid Waste Committee [A5556 Detail]
Download: New_Jersey-2020-A5556-Introduced.html
Sponsored by:
Assemblyman SEAN T. KEAN
District 30 (Monmouth and Ocean)
Assemblyman EDWARD H. THOMSON
District 30 (Monmouth and Ocean)
SYNOPSIS
Provides gross income tax credits to taxpayers who purchase certain low-speed electric bicycles.
CURRENT VERSION OF TEXT
As introduced.
An Act providing gross income tax credits to taxpayers who purchase certain low-speed electric bicycles 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 for the taxable year under the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., in an amount equal to 30 percent of the qualified electric bicycle purchase expenses incurred by the taxpayer during the taxable year, except that the credit shall not exceed $1,500.
b. The order of priority of the application of the credit allowed pursuant to this section, and any other credits allowed against the tax imposed pursuant to N.J.S.54A:1-1 et seq., shall be as prescribed by the director. The amount of the credit, together with any other credits allowed by law, shall not reduce the taxpayer's liability otherwise due for the taxable year under N.J.S.54A:1-1 et seq. to an amount less than zero.
c. Notwithstanding any provision of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the director may adopt, immediately upon filing with the Office of Administrative Law and no later than the 90th day after the effective date of this act, such rules and regulations as the director deems necessary to implement the provisions of this section, which regulations shall be effective for a period not to exceed 18 months. The regulations shall thereafter be amended, adopted, or readopted by the director in accordance with the provisions of P.L.1968, c.410 (C.52:14B-1 et seq.).
d. As used in this section:
"Low-speed electric bicycle" means the same as that term is defined in R.S.39:1-1.
"Qualified electric bicycle purchase expense" means an amount incurred for the purchase of a low-speed electric bicycle, provided that the low-speed electric bicycle shall not be used in the conduct of business, and the receipt from the purchase of the low-speed electric bicycle shall not exceed $8,000.
2. This act shall take effect immediately and apply to taxable years beginning on or after the date of enactment.
STATEMENT
This bill provides gross income tax credits to taxpayers who purchase certain low-speed electric bicycles.
Under the bill, the amount of the credit would equal 30 percent of the costs incurred by a taxpayer for the purchase of a qualifying low-speed electric bicycle, up to a maximum credit of $1,500 for the taxable year. In addition, the amount of the credit, together with any other tax credits allowed by law, may not reduce the taxpayer's gross income tax liability to an amount less than zero. To qualify for the credit, the taxpayer may not use the low-speed electric bicycle for business purposes, and the bicycle may cost no more than $8,000 to purchase.
The bill defines "low-speed electric bicycle" to mean a two or three-wheeled vehicle with fully operable pedals, an electric motor of less than 750 watts, and that meets the requirements of a "class 1 low-speed electric bicycle" (i.e., a low-speed electric bicycle equipped with a motor that provides assistance only when the rider is pedaling, and that ceases to provide assistance when the bicycle reaches the speed of 20 miles per hour) or a "class 2 low-speed electric bicycle" (i.e., a low-speed electric bicycle equipped with a motor that may be used exclusively to propel the bicycle, and that is not capable of providing assistance when the bicycle reaches the speed of 20 miles per hour).
