TRENTON – Two bills that seek sales tax exemptions for medically appropriate tattooing and cosmetic make-up in connection with reconstructive breast surgery were recommended for adoption today by the Sales and Use Tax Review Commission.
The panel recommended the Legislature approve S374 and S1188, both of which deal with procedures deemed medically necessary.
The Commission, which issues recommendations to the Legislature either to approve or disapprove bills as they relate to the sales tax, took a stand today on several bills:
A268: Seeking rebates for repair purchases related to last year’s Hurricane Irene and Tropical Storm Lee.
The Commission voted not to recommend. Estimates given to the Commission of lost revenue if this bill passes ranged from $75 million to $150 million, and Commission staff said with applicants able to submit claims by September 2013 for damage sustained in 2011, it would very difficult to assess them and make a fair determination.
The staff reminded the Commission of a 1999 Hurricane Floyd law that created a similar problem with the state having no clear reason to deny claims whose veracity they could not adequately assess.
A775: This would grant exemptions for senior citizens clubs. The Commission voted not to recommend.
A912: This would exempt counties and towns regarding sales of services, and the Commission voted not to recommend.
A1155: An exemption from the sale of high-efficiency home heating equipment. The Commission voted not to recommend.
A1198 and S595: Both bills deal with exemptions regarding sales of hybrid or other highly fuel-efficient vehicles. The Commission voted no, and in each case Commission member James Appleton, of the N.J. Coalition of Automotive Retailers, abstained.
A1331: This provides exemptions for downloading prewritten software.
The Commission voted to support this bill, but on the condition it include an amendment that it not be retroactive. The Commission also supported this measure in the last legislative session.
Fiscal estimates given to the Commission pegged an annual loss at $2.5 million in fiscal year 2012 and $5 million in each year thereafter.
Commission member Deborah R. Bierbaum, of AT&T, recused herself because she said she is involved in lobbying regarding the bill.
A1346/S386: This would grant exemptions regarding membership in health and fitness clubs. However, there was some confusion which led to the tabling of this proposal until next meeting. It appeared that in the previous legislative session A1346 was recommended, while S386 was not.
A1903: Exemptions for off-road diesel equipment. The Commission voted not to recommend.
A2285: This exemption would be for sales of security-related goods. The Commission voted no, with members Deborah R. Bierbaum, of AT&T, and lawyer Susan Feeney, both recusing themselves.
S399: Would affect sales of methane fuel conversion machinery. The Commission voted not to recommend.
S614: This bill would provide an exemption of 50 percent of the sales tax on retail sales of energy and utility service to a business that certifies that at least 50 people are employed at the facility, at least 50 percent of them are directly employed in a manufacturing process, and the energy and utility services are consumed exclusively at that facility. The Commission voted not to recommend.
S704: An exemption from lake association membership fees. The Commission voted not to recommend.
S739: This would give an exemption for carpet and flooring installation. The Commission voted not to recommend.
S1063: This would exclude manufacturer rebates from the sales price of vehicles taxable under the sales tax. The Commission voted not to recommend.
S1182: This would exempt some purchases made by teachers of teaching materials. The Commission voted not to recommend.
S1185: An exemption of storage facility space for active-duty military personnel. The Commission voted not to recommend.