Sponsored by:
Senator BRIAN P. STACK
District 33 (Hudson)
SYNOPSIS
Provides sales and use tax exemption for certain purchases made by certain common interest communities in UEZ.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the imposition of the sales and use tax on certain common interest communities in urban enterprise zones and supplementing P.L.1983, c.303 (C.52:27H-60 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. Notwithstanding the provisions of section 20 of P.L.1983, c.303 (C.52:27H-79), receipts from the first $300,000 of annual retail sales of materials, supplies, and services for the exclusive use of erecting structures or buildings on, or maintaining, improving, altering, or repairing the real property of a large common interest community in an urban enterprise zone, or a contractor hired by the common interest community to make such improvements, alterations, or repairs, are exempt from the taxes imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).
b. As used in this section, "large common interest community" means a horizontal property regime, condominium, homeowner association, cooperative, or mutual housing corporation with at least 1,000 units, in which some of the property, commonly known as "common elements" or "common areas," are owned or controlled by the unit or association owners or members.
2. This act shall take effect immediately.
STATEMENT
Under current law, receipts from the first $100,000 of annual retail sales of tangible personal property (except motor vehicles and energy) and sales of services (except telecommunications services and utility services) to a qualified business for the exclusive use or consumption of the business within an enterprise zone are annually exempt from the taxes imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.). This bill allows for an exemption of $300,000 for certain purchases made by large common interest communities in urban enterprise zones.
Under the bill, a "large common interest community" means a horizontal property regime, condominium, homeowner association, cooperative, or mutual housing corporation with at least 1,000 units, in which some of the property, commonly known as "common elements" or "common areas," are owned or controlled by the unit or association owners or members.