Bill > S1662

Introduced Session

This bill provides corporation business tax and gross income tax credits for insourcing business to New Jersey. "Insourcing" has only recently become part of the business vocabulary. For decades businesses have had incentives to outsource or "offshore" business functions to foreign markets, pursuing lower labor costs. As a result, they have in some cases suffered loss of quality control and have surrendered valuable intellectual property to foreign producers. Insourcing is returning business functions to the United States, reasserting control of input supply and quality, and protecting United States business intellectual property. This bill provides corporation business tax credits and gross income tax credits for businesses that close down their foreign business units and relocate their functions to New Jersey. The credits are equal to 15 percent of the net cost of shutting down the foreign business unit and reestablishing an equivalent unit in New Jersey. The bill requires that the relocation be done pursuant to a written plan, and that the New Jersey full-time employees of the business be increased by the completed relocation.

AI Summary

Committee Categories

Robert Andrews (D)*,  Jeff Van Drew (R)*, 

Introduced in the Senate, Referred to Senate Economic Growth Committee (on 02/16/2016)