Establishes credit under sales and use tax for certain small businesses that collect and remit sales and use tax.

S3515

SENATE, No. 3515

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED FEBRUARY 12, 2026

Sponsored by:

Senator� ANTHONY M. BUCCO

District 25 (Morris and Passaic)

SYNOPSIS

���� Establishes credit under sales and use tax for
certain small businesses that collect and remit sales and use tax.�

CURRENT VERSION OF TEXT

���� As introduced.

��

An Act
establishing a credit under the sales and use tax for
certain small businesses that collect and remit sales and use tax,
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.� A seller that is a
small business shall be entitled to claim a credit against remittances of sales
and use tax equal to 10 percent of the seller�s monthly remittance or $100 per
month, whichever amount is less.� The credit shall be provided to the seller at
such time a return is filed and payment is made to the director pursuant to
sections 17 and 18 of P.L.1966, c.30 (C.54:32B-17 and C.54:32B-18).

���� b.��� The director may require
a seller to submit such documentation, records, and other information as deemed
necessary to verify that the seller claiming the credit provided in subsection
a. of this section meets the criteria set forth in this section to be deemed a
small business.

���� c.���� If a seller willfully
and knowingly falsifies any document, record, or other information required by
the director to claim the credit provided in subsection a. of this section,
that seller shall be subject to a penalty of $100 for a first offense and $200
for each subsequent offense thereafter.

���� d.��� As used in this section:

���� �Small business� means any
business that is independently owned and operated and employs fewer than 20
full-time employees.

���� 2.��� This act shall take
effect immediately; provided however, that section 1 shall apply to sales and
use tax collections remitted to the State on or after the first day of the
sixth month next following the date of enactment.

STATEMENT

���� This bill provides a credit
against a seller�s remittance of sales and use tax if that seller is deemed a
small business pursuant to the definition set forth in the bill.� The credit is
equal to 10 percent of a seller�s monthly remittance or $100 per month,
whichever amount is less.� The credit is provided to a seller at the time the
seller files their sales and use tax return.�

���� The Director of the Division
of Taxation can require a seller to submit any documentation, records, and
other information as deemed necessary to verify that the seller is a small
business.� The bill defines small business as a business that is independently
owned and operated and employs fewer than 20 full-time employees.� If a seller willfully
and knowingly falsifies any document, record, or other information required by
the director to claim the credit, that seller is subject to a penalty of $100
for a first offense and $200 for each subsequent offense thereafter.

���� The bill takes effect
immediately and applies to sales and use tax collections remitted to the State
on or after the first day of the sixth month next following the date of
enactment.