Bill Text: NJ S756 | 2010-2011 | Regular Session | Amended

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Bill Title: Exempts from sales tax for two years certain highly fuel efficient vehicles and energy efficient appliances. *

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2010-03-24 - Reviewed by the Sales Tax Review Commission Recommend to not enact [S756 Detail]

Download: New_Jersey-2010-S756-Amended.html

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[First Reprint]

SENATE, No. 756

STATE OF NEW JERSEY

214th LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2010 SESSION

 

 

Sponsored by:

Senator  JENNIFER BECK

District 12 (Mercer and Monmouth)

Senator  ROBERT M. GORDON

District 38 (Bergen)

 

 

 

 

SYNOPSIS

     Exempts from sales tax for two years certain highly fuel efficient vehicles and energy efficient appliances.

 

CURRENT VERSION OF TEXT

     As reported by the Senate Environment and Energy Committee on March 4, 2010, with amendments.

  

An Act exempting from the sales and use tax certain ¹[hybrid vehicles,]¹ highly fuel efficient vehicles ¹[,]¹ and energy efficient appliances, and supplementing P.L.1966, c.30 (C.54:32B-1 et seq.).

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    a.  Receipts from the retail sale of a ¹[hybrid vehicle, and any]¹ motor vehicle capable of attaining average fuel economy of at least ¹[35] 40¹ miles per gallon, with sales price of $40,000 or less, shall be exempt from the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).  Receipts from the retail sale of ¹[any hybrid vehicle and]¹ any motor vehicle capable of attaining average fuel economy of at least ¹[35] 40¹ miles per gallon, with sales price greater than $40,000, shall be exempt from the tax imposed under the "Sales and Use Tax Act" only for the first $40,000 of ¹[such] the¹ sales price.  ¹[Notwithstanding the provisions of this subsection, receipts from the  sale of any motor vehicle that uses diesel fuel shall not be exempt from the tax imposed under the "Sales and Use Tax Act.]¹

     b.    The State Treasurer, in consultation with the Department of Environmental Protection, the Department of Transportation, and the New Jersey Motor Vehicle Commission, shall adopt any rules and regulations necessary to implement this section.

     c.     As used in this section, "average fuel economy" means the average of the city and highway miles per gallon estimates provided by automobile manufacturers and printed on the fuel economy label affixed to a window on the motor vehicle, pursuant to section 600.306-86 of title 40, Code of Federal Regulations, which shall be calculated by the seller. ¹["Hybrid vehicle" means a motor vehicle propelled by both an internal combustion engine and an energy storage device which regenerates energy captured from braking.]¹

 

     2.    a. Receipts from the retail sale of any qualified product bearing the Energy Star label shall be exempt from the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).

     b.    For the purposes of this section, "Energy Star label" means the label granted to certain products that meet the energy efficiency criteria of the federal ¹[Environmental Protection Agency]¹ Energy
Star program administered ¹by the United States Environmental Protection Agency¹ in collaboration with the ¹[federal] United States¹ Department of Energy and established pursuant to 42 U.S.C. ¹[s.6249a] s.6294a¹ .

 

     ¹3.   The Department of Environmental Protection, in consultation with the Department of the Treasury, shall prepare and submit a report to the Governor and both Houses of the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), within three months after the expiration of the exemption from the tax imposed under the "Sales and Use Tax Act," pursuant to sections 1 and 2 of this act.  The report  shall include any findings and conclusions concerning the effectiveness of the program and shall make recommendations regarding the continuation or permanent expiration of the exemption, and may propose changes if appropriate.  Copies of the report shall be posted on the Internet websites of the Department of Environmental Protection and the Department of the Treasury.¹

 

     ¹[3.] 4.¹     This act shall take effect on the ¹[60th] 90th¹ day after the date of enactment and shall expire two years after the effective date.