Bill > S2307

Introduced Session

This bill establishes a sales tax credit against small businesses' sales tax collections and a sales tax holiday for small businesses for a portion of the Governor's declaration of a state of emergency related to the COVID-19 pandemic. A "small business" is defined as any business that is independently owned and operated and employs fewer than 100 employees. The sales tax credit is equal to a small business's quarterly remittance for the first calendar quarter of Calendar Year 2020 less the amount of remittance dedicated for property tax reform pursuant to the New Jersey Constitution. If a small business has made monthly or quarterly payments or filed its quarterly return for the calendar quarter, the small business would receive a refund from the State equal to the credit amount. The sales tax holiday will last until the Governor determines that an emergency no longer exists as stipulated under Executive Order No. 103 of 2020. On March 9, 2020, the Governor declared a state of emergency due to the COVID-19 pandemic, also referred to as the coronavirus pandemic. Because of the coronavirus pandemic, employers have had to cut staff hours, schools have closed, and residents are at risk of not being able to pay rent and other expenses. The bill allows residents to keep more of their income while incentivizing sales at small businesses that will experience financial hardships. The bill also provides small businesses with an infusion of cash by letting them keep sales tax collections.

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Tony Bucco (R)*, 

Introduced in the Senate, Referred to Senate Budget and Appropriations Committee (on 04/09/2020)