Bill Text: NJ A3524 | 2020-2021 | Regular Session | Introduced
Bill Title: Authorizes certain cities to impose tax on billboard revenues.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2020-02-25 - Introduced, Referred to Assembly State and Local Government Committee [A3524 Detail]
Download: New_Jersey-2020-A3524-Introduced.html
Sponsored by:
Assemblyman RAJ MUKHERJI
District 33 (Hudson)
Assemblywoman ANGELA V. MCKNIGHT
District 31 (Hudson)
SYNOPSIS
Authorizes certain cities to impose tax on billboard revenues.
CURRENT VERSION OF TEXT
As introduced.
An Act authorizing certain municipalities to impose a tax on billboard revenue and supplementing Title 40 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. This act shall be known and may be cited as the "Local Billboard Tax Act."
2. As used in this act:
"Advertising space" means the placement of advertising on an outdoor sign;
"Billboard" means a sign required to be permitted pursuant to the "Roadside Sign Control and Outdoor Advertising Act," P.L.1991, c.413 (C.27:5-5 et seq.);
"End user" means the person purchasing the advertising space on a billboard;
"Gross amounts collected by a retail seller for advertising space on an outdoor advertising sign" include, but are not limited to, amounts collected, whether received in money or otherwise, from contracts to place advertising on billboards located in the city, regardless of the location of the advertiser;
"Retail seller" means a permit holder or licensee who contracts with the end user for outdoor advertising space on a billboard or a party that is authorized on behalf of a permit holder or licensee to sell advertising space on a billboard.
3. The governing body of a city of the first class may make, amend, repeal, and enforce an ordinance imposing in the city a tax, not to exceed six percent, on the gross amounts collected by a retail seller for advertising space on a billboard. The fee shall be imposed on the end user.
4. a. A tax imposed by ordinance pursuant to section 3 of this act shall be collected on behalf of the city by the retail seller of a billboard.
b. A retail seller of a billboard who is required to collect a tax imposed by ordinance pursuant to section 3 of this act shall, on a quarterly basis, remit all amounts collected to the chief financial officer of the city together with a return for the preceding quarter indicating the revenue and taxes as well as any other information that the chief financial officer deems necessary to determine the correct liability for the tax during the preceding quarter. The tax and return shall be due on or before the dates on which municipal real property taxes are due.
c. The retail seller of a billboard shall be personally liable for the tax imposed, collected, or required to be collected pursuant to this act.
d. The city shall enforce the payment of delinquent billboard taxes in the same manner as provided for municipal real property taxes.
5. The tax authorized pursuant to this act shall be in addition to any other tax imposed by law.
6. This act shall take effect immediately.
STATEMENT
This bill would authorize a city of the first class to impose a tax of up to six percent on amounts derived from the rental of advertising space on a billboard. N.J.S.A. 40A:6-4 provides that first class cities are cities having a population of more than 150,000, according to the most recent Federal decennial census. Currently, Newark City and Jersey City are the only New Jersey cities of the first class.
The bill provides that the retail seller of advertising space on a billboard would collect the tax on behalf of the city, and would remit amounts collected to the chief financial officer of the city on a quarterly basis. The bill would also require a retail seller of advertising space on a billboard to provide the chief financial officer with a return for the preceding quarter indicating the revenue and taxes and any other information that the chief financial officer deems necessary to determine the correct liability for the tax during the preceding quarter. The tax and return shall be due on or before the dates on which municipal real property taxes are due.
Under the bill, the retail seller of advertising space on a billboard would be personally liable for the tax imposed, collected, or required to be collected. The bill authorizes the city to enforce the payment of delinquent billboard taxes in the same manner as provided for municipal real property taxes.
The local billboard tax would be in addition to any other tax imposed by law.
