Bill Text: NJ A827 | 2010-2011 | Regular Session | Introduced

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Bill Title: Establishes sales and use tax rate reduction period from October 1, 2009 through December 31, 2009 for sales of certain goods and services greater than or equal to $10,000; sets reduction period tax rate at 3.5%.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2010-03-24 - Reviewed by the Sales Tax Review Commission Recommend to not enact [A827 Detail]

Download: New_Jersey-2010-A827-Introduced.html

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ASSEMBLY, No. 827

STATE OF NEW JERSEY

214th LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2010 SESSION

 

 

Sponsored by:

Assemblyman  NELSON T. ALBANO

District 1 (Cape May, Atlantic and Cumberland)

Assemblyman  MATTHEW W. MILAM

District 1 (Cape May, Atlantic and Cumberland)

 

 

 

 

SYNOPSIS

     Establishes sales and use tax rate reduction period from October 1, 2009 through December 31, 2009 for sales of certain goods and services greater than or equal to $10,000; sets reduction period tax rate at 3.5%.

 

CURRENT VERSION OF TEXT

     Introduced Pending Technical Review by Legislative Counsel

  

An Act establishing a period of reduced sales and use tax imposition, supplementing P.L.1966, c.30 (C.54:32B-1 et seq.).

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    a. Notwithstanding the provisions of sections 3, 4, and 6 of P.L.1966, c.30 (C.54:32B-3, C.54:32B-4, and C.54:32B-6) to the contrary, the sales tax and the use tax which shall be paid pursuant to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), shall be imposed at the rate of 3.5% on sales made during the tax reduction period, admission charges paid during the tax reduction period, rents for occupancies during the tax reduction period, and uses beginning during the tax reduction period, if the sales price of the item subject to tax is greater than or equal to $10,000.

     b.    As used in this section,

     "Tax reduction period" means the period on or after October 1, 2009 but before January 1, 2010.

     c.     Notwithstanding the provisions 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 such regulations as the director deems necessary to implement the provisions of this section, which regulations shall be effective for a period not to exceed 180 days following the date of enactment of P.L.    , c.   (pending before the Legislature as this bill) and may thereafter be amended, adopted, or readopted by the director in accordance with P.L.1968, c.410.

 

     2.    This act shall take effect immediately.

 

 

STATEMENT

 

     This bill establishes a temporary tax rate reduction period from October 1, 2009 through December 31, 2009 during which the State's 7% sales and use tax will be imposed at a reduced, 3.5% rate of taxation, if the sales price of the item subject to tax is greater than or equal to $10,000.

      The reduced rate of taxation provided by the bill is intended to provide State residents with immediate tax relief and to facilitate additional consumer spending during the current economic decline.