Bill Text: NJ A4084 | 2010-2011 | Regular Session | Introduced
Bill Title: Permits municipality to pay commercial and industrial property tax refunds for tax years 2010 through 2011 over subsequent three local budget years.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2011-05-23 - Introduced, Referred to Assembly Housing and Local Government Committee [A4084 Detail]
Download: New_Jersey-2010-A4084-Introduced.html
Sponsored by:
Assemblyman ALBERT COUTINHO
District 29 (Essex and Union)
SYNOPSIS
Permits municipality to pay commercial and industrial property tax refunds for tax years 2010 through 2011 over subsequent three local budget years.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning satisfaction of certain commercial and industrial property tax appeal judgments.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Notwithstanding the provisions of section 2 of P.L.1975, c.361 (C.54:3-27.2) or any other law to the contrary, in the event that a taxpayer is successful in an appeal from an assessment on commercial, industrial, or other non-residential real property for any tax year from 2010 through 2011, the respective taxing district may, at its sole discretion, refund any excess taxes paid, together with interest thereon from the date of payment at a rate of 5% per annum, less any amount of taxes, interest, or both, which may be applied against delinquencies pursuant to section 2 of P.L.1983, c. 137 (C. 54:4-134), over the period of time concluding on the last day of the third local budget year next succeeding the date of final judgment.
2. This act shall take effect immediately, and shall be applicable only to the payment of property tax appeal judgments for tax years 2010 through 2011.
STATEMENT
This bill allows a municipality, in the event a commercial or industrial property taxpayer is successful in a real property tax appeal for tax years 2010 and 2011, to refund any excess taxes paid, with interest calculated at a 5% annual rate, over the three local budget years next following the date of the final judgment. Current statutory law requires full payment of any excess taxes paid, including interest calculated at a 5% annual rate, within 60 days of the final judgment.
This temporary legislation is intended to relieve municipalities of the burden of paying substantial property tax refunds for tax years 2010 and 2011 within a relatively short period of time. The sponsor notes that many municipal governments are experiencing greater fiscal pressures due to the current economic conditions. This bill would allow those municipalities to better manage the payment of substantial property tax refunds by budgeting for them over a defined three-year period of time.
