summary
Introduced
01/09/2024
01/09/2024
In Committee
01/09/2024
01/09/2024
Crossed Over
Passed
Dead
Introduced Session
2024-2025 Regular Session
Bill Summary
This bill provides that credit unions regulated pursuant to the laws of this State are exempt from paying or charging sales and use tax. Federally chartered credit unions enjoy an exemption from state sales taxes and most other state taxes pursuant to the "Federal Credit Union Act" (12 U.S.C. s.1768). The sales and use tax imposed on State-chartered credit unions creates a competitive disadvantage compared to their federal counterparts. The exemption establishes sales tax parity between State and federally chartered credit unions. The exemption in the bill expires if federally chartered credit unions lose their current exemption from state sales taxes. Additionally, the exemption does not apply if the credit union is a purchaser or user of tangible personal property for the purpose of being a lessor.
AI Summary
This bill exempts credit unions regulated by the laws of New Jersey from paying or charging sales and use tax. This establishes sales tax parity between state-chartered and federally chartered credit unions, as federally chartered credit unions already enjoy an exemption from state sales taxes under federal law. The exemption expires if federally chartered credit unions lose their current exemption, and it does not apply if the credit union is purchasing or using tangible personal property for the purpose of being a lessor.
Committee Categories
Business and Industry
Sponsors (1)
Last Action
Introduced in the Senate, Referred to Senate Commerce Committee (on 01/09/2024)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/S1164 |
| BillText | https://pub.njleg.gov/Bills/2024/S1500/1164_I1.HTM |
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