Bill Text: NJ A3771 | 2024-2025 | Regular Session | Introduced
Bill Title: Prohibits tax preparation software companies from charging fee for electronically filing State tax returns.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced) 2024-02-22 - Introduced, Referred to Assembly Consumer Affairs Committee [A3771 Detail]
Download: New_Jersey-2024-A3771-Introduced.html
Sponsored by:
Assemblyman ROY FREIMAN
District 16 (Hunterdon, Mercer, Middlesex and Somerset)
SYNOPSIS
Prohibits tax preparation software companies from charging fee for electronically filing State tax returns.
CURRENT VERSION OF TEXT
As introduced.
An Act prohibiting tax preparation software companies from charging a fee for electronically filing State tax returns and supplementing Title 56 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. As used in this act:
"Director" means the Director of the Division of Taxation in the Department of the Treasury.
"Electronic filing" means filing a tax document by the use of computer technology, including transmission through the internet.
"Taxpayer" means any person owing or liable to pay any State tax or any person deemed by the director to be so owing or liable.
"Tax preparation software company" means a developer or vendor of any computer software program intended for tax return preparation purposes, including an off-the-shelf software program loaded onto a taxpayer's computer or an online tax preparation application.
"Tax return" means a tax document which the director has authorized to be filed electronically.
b. A tax preparation software company shall not charge a taxpayer a fee for the electronic filing of a tax return.
c. A violation of subsection b. of this section shall result in a civil penalty of $500 for a first offense and $1,000 for any subsequent offense, which may be collected and enforced by the Director of the Division of Consumer Affairs in the Department of Law and Public Safety in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
2. This act shall take effect immediately and shall apply to taxable years beginning on or after January 1, 2022.
STATEMENT
This bill prohibits tax preparation software companies from charging a fee for the electronic filing of State tax returns. Tax preparation software includes any computer program intended for tax return preparation, such as an off-the-shelf software program loaded onto a taxpayer's computer or an online tax preparation application.
A violation of the bill's provisions is punishable by a civil penalty of $500 for a first offense and $1,000 for any subsequent offense, which may be collected and enforced by the Director of the Division of Consumer Affairs in the Department of Law and Public Safety in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999."
This bill applies to taxable years beginning or after January 1, 2022. This bill is modeled after legislation enacted in New York in 2010.