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NJ S3513

NJ S3513
Imposes 2.5 percent corporate transit fee on taxpayers with allocated taxable net income in excess of $10 million under CBT.


summary

Introduced
06/26/2024
In Committee
06/26/2024
Crossed Over
Passed
Dead

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill imposes a 2.5 percent surtax, to be called the "Corporate Transit Fee," on certain corporation business tax (CBT) taxpayers that have New Jersey allocated taxable net income in excess of $10 million for privilege periods beginning on and after January 1, 2024 through December 31, 2028. The bill defines "allocated taxable net income" to mean the same as the term "taxable net income" is defined in the Corporation Business Tax Act (C.54:10A-1 et seq.) for purposes of calculating a taxpayer's CBT liability. The Corporate Transit Fee would be imposed in addition to the taxpayer's regular CBT liability, except that the surtax would not be imposed on any S corporation or public utility. No credits would be allowed against the corporate transit fee, except for credits for installment payments, estimated payments made with request for an extension of time for filing a return, or overpayments from prior privilege periods. All revenue collected from the Corporate Transit Fee, except for amounts constitutionally dedicated for open space, farmland, and historic preservation, would be deposited into the General Fund and, beginning in State fiscal year 2026, appropriated annually to support New Jersey Transit's operating expenses and to pay for the State's matching funds required to receive federal funding for eligible New Jersey Transit capital projects.

AI Summary

This bill imposes a 2.5 percent "Corporate Transit Fee" surtax on certain corporation business tax (CBT) taxpayers that have New Jersey allocated taxable net income in excess of $10 million for privilege periods beginning on and after January 1, 2024 through December 31, 2028. The fee would be imposed in addition to the taxpayer's regular CBT liability, except that it would not apply to S corporations or public utilities. The revenue collected from the fee, except for amounts constitutionally dedicated for open space, farmland, and historic preservation, would be deposited into the General Fund and, beginning in Fiscal Year 2026, appropriated annually to support New Jersey Transit's operating expenses and to pay for the State's matching funds required to receive federal funding for eligible New Jersey Transit capital projects.

Committee Categories

Budget and Finance

Sponsors (1)

Last Action

Substituted by A4704 (on 06/28/2024)

bill text


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bill summary

Document Type Source Location
State Bill Page https://www.njleg.state.nj.us/bill-search/2024/S3513
Fiscal Note - Fiscal Estimate 7/3/24; as introduced https://pub.njleg.gov/Bills/2024/S4000/3513_F1.PDF
Analysis - Statement SBA 6/26/24 https://pub.njleg.gov/Bills/2024/S4000/3513_S1.PDF
BillText https://pub.njleg.gov/Bills/2024/S4000/3513_I1.HTM
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