TRENTON – A possible addition to the Urban Enterprise Zone program, and tax breaks for artists and pet medication sales are among the bills that will be considered Wednesday by the Sales and Use Tax Review Commission.
The commission examines proposed legislation that seeks tax breaks for various goods or services, and makes recommendations to the Legislature whether it feels the bills should be passed.
A3042/S2017: This bill would authorize the creation of an urban enterprise zone in Linden in Union County.
If approved, it would be the 33rd such zone in the program that allows businesses to collect half of the sales tax – 3.5 percent – normally charged in order to boost business in troubled business areas.
The sponsors are the three 22nd District legislators, Democrats Sen. Nicholas Scutari, and Assembly members Linda Stender and Jerry Green.
A3146: This would provide a 50 percent sales tax exemption on sales of so-called “one of a kind” art.
The bill defines eligible artwork as an original painting, sculpture or other kind of work not generally intended for mass production except for limited editions.
Excluded from the bill would be performance art, body art, food products, and similar items.
The sponsors are Assembly members Chris Brown, (R-2), Northfield, and DiAnne Gove, (R-9), Forked River.
A2766: This would exempt completely the sales of pet medications.
The sponsors of “Fritz’s Law’’ are Assembly members Erik Peterson, (R-23), Clinton, and Craig Coughlan, (D-19), Woodbridge.
Among other bills on the commission’s agenda:
A2890: This bill would exempt from the sales tax the installation of rainwater capture systems. It also would provide tax credits and prohibit a governmental agency from imposing fees on their installations. It is sponsored by Assemblyman Timothy Eustace, (D-38), Paramus.
A2855: This bill would exempt charges for residential storage space and fees or dues for health clubs. Earlier incarnations draw a thumbs-down recommendation from the commission.
S1868: This bill would provide an exemption on services done on computer software.
This bill points out that while sales of some “canned’’ software are exempt, services performed on that software, such as maintenance, are not.
The bill is sponsored by Sen. Jeff Van Drew, (D-1), Dennis Township.
Earlier this year, the commission recommended enacting its companion bill in the Assembly, A1331.
S1993: This bill, which would phase out the sales tax on certain initiation or membership fees, drew a negative response from the commission in a previous legislative session.
S2085: This bill, which would provide an exemption on compressed natural gas for buses, drew a negative recommendation earlier this year from the commission.