Bill Text: NJ SR93 | 2012-2013 | Regular Session | Introduced
Bill Title: Urges President and Congress to enact legislation granting certain tax incentives to businesses affected by Hurricane Sandy.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2013-01-08 - Introduced in the Senate, Referred to Senate Economic Growth Committee [SR93 Detail]
Download: New_Jersey-2012-SR93-Introduced.html
Sponsored by:
Senator JIM WHELAN
District 2 (Atlantic)
SYNOPSIS
Urges President and Congress to enact legislation granting certain tax incentives to businesses affected by Hurricane Sandy.
CURRENT VERSION OF TEXT
As introduced.
A Senate Resolution urging the President and Congress to enact legislation granting tax incentives to New Jersey businesses affected by Hurricane Sandy.
Whereas, Hurricane Sandy was the largest Atlantic Ocean formed hurricane on record, measuring over 1,000 miles in diameter, twice the size of Hurricane Katrina; and
Whereas, Hurricane Sandy damaged or destroyed an estimated 325,000 homes in New Jersey and caused approximately $36 billion in damage across the State; and
Whereas, Two weeks after Hurricane Katrina, a storm of comparable economic loss, made landfall in 2005, Congress approved $60 billion in federal aid to the region and later approved an additional $26 billion in federal aid under the "Gulf Opportunity Zone Act of 2005," which provided many small businesses and employers in the Gulf Coast region with a variety of tax breaks and tax incentives; and
Whereas, Under the "Gulf Opportunity Zone Act of 2005," certain businesses affected by Hurricane Katrina were allowed to extend the carry back period for net operating losses from two years to five years; increase deductions on qualifying property expenditures from $100,000 to $200,000; and claim a tax credit on 30 percent of the value of employer-provided housing limited to $600 per month while allowing employees to exclude the amount from their income; and
Whereas, Under that act, individuals affected by Hurricane Katrina were allowed to deduct certain qualified property clean-up costs, claim a tax credit equal to 13 percent of the qualifying costs to rehabilitate a qualified building or 26 percent for a certified historic structure, and increase depreciation deductions for property affected by Hurricane Katrina equal to 50 percent of the property's adjusted basis; and
Whereas, New Jersey's recovery from the destruction caused by Hurricane Sandy will be significantly advanced by the availability of tax incentives similar to those given to the Gulf Coast region; now, therefore,
Be It Resolved by the Senate of the State of New Jersey:
1. This House respectfully urges the President of the United States and the United States Congress to enact legislation that grants similar tax incentives to New Jersey businesses affected by Hurricane Sandy that were granted to Gulf Coast region businesses in the wake of Hurricane Katrina and Hurricane Rita under the "Gulf Opportunity Zone Act of 2005."
2. Duly authenticated copies of this resolution shall be transmitted to the President of the United States, the Majority and Minority Leaders of the United States Senate, the Speaker and Minority Leader of the United States House of Representatives, and each member of the United States Congress elected from this State.
STATEMENT
This resolution urges the President of the United States and the United States Congress to grant New Jersey businesses similar tax incentives that were granted to Gulf Coast region businesses in the wake of Hurricanes Katrina and Rita. Hurricane Sandy, which was the largest Atlantic Ocean formed hurricane, was twice the size of Hurricane Katrina and caused approximately $36 billion in damage in New Jersey.
In 2005, Congress passed the "Gulf Opportunity Zone Act of 2005," which provided tax breaks and incentives to small business and employers affected by Hurricane Katrina. Specifically, the act increased deductions, qualifying expenditure limits, property value depreciation limits, and tax credits for those affected by Hurricanes Katrina and Rita. New Jersey's recovery from Hurricane Sandy will be significantly advanced by the availability of tax incentives similar to those granted to the Gulf Coast region.
