Bill Text: NJ A4772 | 2014-2015 | Regular Session | Introduced
Bill Title: Permits counties to impose one-percent hotel tax.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Enrolled - Dead) 2016-01-19 - Pocket Veto - Bills not Acted on by Governor-end of Session [A4772 Detail]
Download: New_Jersey-2014-A4772-Introduced.html
Sponsored by:
Assemblyman JOHN J. BURZICHELLI
District 3 (Cumberland, Gloucester and Salem)
SYNOPSIS
Permits counties to impose one-percent hotel tax.
CURRENT VERSION OF TEXT
As introduced.
An Act permitting counties to impose a hotel tax and supplementing chapter 23 of Title 40 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. The governing body of a county, including a county operating under the provisions of the "Optional County Charter Law," P.L.1972, c.154 (C.40:41A-1 et seq.), may by resolution or ordinance, as appropriate, impose a tax, at a percentage rate of 1%, on charges of rent for every occupancy of a room or rooms in a hotel subject to taxation pursuant to subsection (d) of section 3 of P.L.1966, c.30 (C.54:32B-3). The resolution or ordinance may also require that unpaid taxes under this subsection shall be subject to interest at the rate of 5% each year.
b. A tax imposed by a resolution or ordinance adopted pursuant to subsection a. of this section shall be in addition to any other tax or fee imposed pursuant to statute or local ordinance or resolution or ordinance by any governmental entity upon the occupancy of a hotel room.
c. A copy of a resolution or ordinance adopted pursuant to subsection a. of this section shall upon adoption or amendment be transmitted to the State Treasurer, together with a list of the names and addresses of all the hotels located in the county. A resolution or ordinance so adopted or any amendment thereto shall provide that the tax provisions of the resolution or ordinance or any amendment to the tax provisions shall take effect on the first day of the first full month occurring 90 days after the date of transmittal to the State Treasurer.
d. A county that has adopted a resolution or ordinance pursuant to subsection a. of this section shall annually provide to the State Treasurer, not later than January 1 of each year, a list of the names and addresses of all the hotels located in the county. A county shall also provide to the State Treasurer the name and address of any hotel that commences operation in the county after January 1 of any year.
e. The revenue generated by a tax imposed by a resolution or ordinance adopted pursuant to subsection a. of this section shall be used solely and exclusively by the county for the purposes of reducing the amount the county is required to raise by the local property tax levy for county purposes.
2. A resolution or ordinance adopted pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill) shall contain the following provisions:
a. All taxes imposed by the resolution or ordinance shall be paid by the purchaser;
b. A vendor shall not assume or absorb any tax imposed by the resolution or ordinance, as applicable;
c. A vendor shall not in any manner advertise or hold out to any person or to the public in general, in any manner, directly or indirectly, that the tax will be assumed or absorbed by the vendor, that the tax will not be separately charged and stated to the customer, or that the tax will be refunded to the customer;
d. Each assumption or absorption by a vendor of the tax shall be deemed a separate offense and each representation or advertisement by a vendor for each day the representation or advertisement continues shall be deemed a separate offense; and
e. Penalties, as fixed in the resolution or ordinance, for violation of the foregoing provisions.
3. a. A tax imposed by a resolution or ordinance adopted pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill) shall be collected on behalf of the county by the person collecting the rent from the hotel customer.
b. Each person required to collect a tax imposed by a resolution or ordinance adopted pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill) shall be personally liable for the tax imposed, collected or required to be collected. Any such person shall have the same right in respect to collecting the tax from a customer as if the tax were a part of the rent and payable at the same time; provided, however, that the chief fiscal officer of the county shall be joined as a party in any action or proceeding brought to collect the tax.
4. a. A person required to collect a tax imposed by a resolution or ordinance adopted pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill) shall, on or before the dates required pursuant to section 17 of P.L.1966, c.30 (C.54:32B-17), forward to the Director of the Division of Taxation in the Department of the Treasury the tax collected in the preceding month and make and file a return for the preceding month with the director on any form and containing any information as the director shall prescribe as necessary to determine liability for the tax in the preceding month during which the person was required to collect the tax.
b. The director may permit or require returns to be made covering other periods and upon any dates as the director may specify. In addition, the director may require payments of tax liability at any intervals and based upon any classifications as the director may designate. In prescribing any other periods to be covered by the return or intervals or classifications for payment of tax liability, the director may take into account the dollar volume of tax involved as well as the need for ensuring the prompt and orderly collection of the tax imposed.
c. The director may require amended returns to be filed within 20 days after notice and to contain the information specified in the notice.
5. a. The Director of the Division of Taxation in the Department of the Treasury shall collect and administer a tax imposed by a resolution or ordinance adopted pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill). In carrying out the provisions of this section, the director shall have all the powers granted in P.L.1966, c.30 (C.54:32B-1 et seq.).
b. The director shall determine and certify to the State Treasurer on a quarterly or more frequent basis, as prescribed by the State Treasurer, the amount of revenues collected in each county pursuant to the resolution or ordinance, as appropriate.
c. The State Treasurer, upon the certification of the director and upon the warrant of the State Comptroller, shall pay and distribute on a quarterly or more frequent basis, as prescribed by the State Treasurer, to each county the amount of revenues determined and certified under subsection b. of this section. The State Treasurer shall include with each distribution of tax revenue a list of all the hotels in the county that submitted county occupancy tax revenue to the State as required in subsection c. of section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill) for the period comprising the hotel tax distribution.
d. A tax imposed by a resolution or ordinance adopted pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill) shall be governed by the provisions of the "State Uniform Tax Procedure Law," R.S.54:48-1 et seq.
6. a. The State Treasurer shall annually provide to a county that has adopted a resolution or ordinance imposing the tax pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill) written notification of nonpayment by a hotel of taxes required to be paid under the resolution or ordinance. The written notification required by this section shall also authorize the county to act as the collection agent for the outstanding balance of taxes due and owing to it in place of the State Treasurer.
b. In the event that the tax authorized and imposed by a resolution or ordinance adopted pursuant to subsection a. of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill) is not paid as and when due by a hotel, the unpaid balance, and any interest accruing thereon, and any penalties for nonpayment, may be recovered with costs in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
7. The State Treasurer shall promulgate regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) necessary to effectuate the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill) not later than the first day of the fourth full month next following enactment thereof.
8. This act shall take effect immediately.
STATEMENT
This bill would permit a county to impose a hotel tax at a rate of one percent. This tax would be in addition to the current State hotel occupancy fee and sales tax, and any municipal hotel taxes. The tax proceeds would be used to reduce the county property tax levy.
