On Monday, Trenton Issues Its Own Stimulus Plan

Here's a quick glance at some of the bills that are going to be considered Monday in either the General Assembly or the State Senate. All of these reforms have long-been supported by CIANJ and will help New Jersey companies cope with the current economic slowdown and to grow into the future.

The changes on the docket include:

• A-2720 (Vas) - Under current law, UEZ businesses with $3 million in gross receipts must pay the Treasury the full sales tax, so that they can then apply for their 50% rebate. This creates added work for both the company and the State. A-2720 would allow the sales tax deduction to be effective immediately at the point-of-sale.
• A-2722 (Vas/Greenwald) - Eliminates New Jersey's so-called "throw-out" rule. Currently, a company doing business in New Jersey that sells its products in states that do not tax corporate income have that income partially taxed here in New Jersey. Passage of A-2722 would undo this harmful provision.
• A-1277 (Carroll) - Provides CBT and gross income tax credits for employers that regularly allow employees to telecommute as part of a structured plan. The credit will be equal to 1% of the portion of the week that an employee telecommutes (i.e. for a worker telecommuting 3 out of 5 days, the credit would be equal to 1% of 60% of the worker's weekly pay).
• A-3124 (Greenwald/McKeon) - NJ companies are allowed to carry their net operating losses forward for a period of seven tax years. The federal government, NY, PA, DE and others all allow these losses to be carried for 20 years. This legislation would bring NJ law to the 20 year mark. Similar legislation will be heard in both the General Assembly and the Senate.

That's a good day for New Jersey's economy and all its citizens.