Bill > S2728

This bill prohibits the State of New Jersey from awarding contracts paid with State funds or providing development subsidies to companies identified as "inverted domestic corporations," which are defined as companies determined by the Internal Revenue Service to be inverted corporations under federal law (26 U.S.C. s.7874). Companies seeking State contracts must certify they are not inverted domestic corporations, and those applying for development subsidies will be denied if they or their corporate parent became an inverted domestic corporation before applying. Furthermore, recipients of development subsidies must annually provide proof of their legal status and are required to repay the full subsidy amount if they become an inverted domestic corporation during the subsidy's term. These provisions will not apply if doing so would violate federal law or jeopardize federal funding for the State. The State Treasurer is tasked with creating the necessary regulations to implement these changes, with the section concerning development subsidies taking effect 60 days after enactment.

Government Affairs

https://www.njleg.state.nj.us/bill-search/2024/S2728