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Bill > A3561
NJ A3561
NJ A3561Eliminates one percent tax on purchasers of Class 4A commercial property transferred for consideration in excess of $1 million.
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill eliminates the one percent tax imposed on the purchaser, in a non-deed transfer, of a controlling interest in an entity that owns Class 4A commercial property, otherwise known as the controlling interest transfer tax (CITT), if the total consideration for the transfer is in excess of $1 million. Class 4A commercial property is any kind of income-producing real property other than property classified as vacant land, residential property or apartments, farm property, and industrial property.
AI Summary
This bill eliminates the one percent tax, known as the controlling interest transfer tax (CITT), that is currently imposed on purchasers of a controlling interest in an entity that owns Class 4A commercial property when the total value of the transaction exceeds $1 million. Class 4A commercial property refers to income-producing real estate that is not vacant land, residential property, apartments, farm property, or industrial property. The bill repeals the existing law that established this tax, but it clarifies that this repeal does not affect any existing tax obligations, liens, or duties that have already accrued or may accrue under the old law, nor does it prevent the state from auditing records and collecting any taxes owed, along with any applicable interest and penalties. The repeal will take effect on the first day of the second month following the bill's enactment and will apply to transfers occurring on or after that date.
Committee Categories
Business and Industry
Sponsors (4)
Last Action
Introduced, Referred to Assembly Commerce and Economic Development Committee (on 01/13/2026)
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/2026/A3561 |
| BillText | https://pub.njleg.gov/Bills/2026/A4000/3561_I1.HTM |
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