KLS Keeping Law Simple Legislation in plain English

Straight-ahead summaries built from the official bill text. We keep the source links front and center and leave the decision up to you.

Back to New Jersey

S4534 • 2026

Reduces business formation fees.

Reduces business formation fees.

Budget
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Burzichelli, John J.
Last action
2026-06-30
Official status
Substituted by A5325
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Reduces business formation fees.

Reduces business formation fees.

What This Bill Does

  • Reduces business formation fees.
  • Topic: Substituted by another Bill Fiscal note: This bill has been certified by OLS for a fiscal note.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2026-06-30 New Jersey Legislature

    Substituted by A5325

  2. 2026-06-28 New Jersey Legislature

    Reported from Senate Committee, 2nd Reading

  3. 2026-06-26 New Jersey Legislature

    Introduced in the Senate, Referred to Senate Budget and Appropriations Committee

Official Summary Text

Reduces business formation fees.
Topic:
Substituted by another Bill
Fiscal note:
This bill has been certified by OLS for a fiscal note.

Current Bill Text

Read the full stored bill text 
S4534 FISCAL NOTE

FISCAL NOTE

SENATE, No. 4534

STATE OF NEW JERSEY

222nd LEGISLATURE

DATED: JULY 7, 2026

SUMMARY

Synopsis:

Reduces business formation fees.

Type of Impact:

Annual State revenue decrease

Agency Affected:

Department of the Treasury

Executive
Estimate

Fiscal Impact

Fiscal Year 2027

State Revenue Decrease

$4.1 Million

Office of
Legislative Services Estimate

Fiscal Impact

Annual

State Revenue Decrease

$4.0 Million

�

The Office of Legislative Services (OLS)
concurs
with the
Executive that lowering business formation fees will result in an annual State revenue
loss approximating $4.1 million.�

BILL DESCRIPTION

����� This bill lowers business formation fees by $25.� The
initial registration fee will decrease from $125 to $100 for for-profit
businesses and from $75 to $50 for not-for-profit businesses.��

FISCAL ANALYSIS

EXECUTIVE BRANCH

����� The Department of the Treasury estimates that this
bill will reduce FY2027 State revenue collections by $4.1 million.

�

OFFICE OF LEGISLATIVE SERVICES

����� The OLS
concurs
with the Executive that
lowering initial business registration fees by $25 per filing will result in an
annual State revenue loss of about $4.1 million.�

����� Notably, the OLS projects that the fee reduction will
produce an annual State gross revenue loss of $4.2 million.� This estimate is
based on the U.S. Census Bureau�s monthly Business Formation Statistics for New
Jersey, which indicate that New Jersey recorded 169,079 business formation
applications in the most recent 12-month period available (June 2025 to May
2026).�

OLS Estimate of FY2027 Fiscal Impact of

�Business Registration Fee Reduction

State Revenue Loss from Lower Registration Fee

($4,227,000)

State Revenue Offset from Lower Business Expense
Deductions

$254,000

Net State Revenue Loss

($3,973,000)

����� The State revenue loss from the fee reduction will be
partially offset by a concurrent revenue gain under the gross income tax and
corporation business tax, including the affiliated corporate transit fee.� That
is because in determining taxable income under these taxes, businesses may
deduct State-imposed fees as ordinary operating expenses.� Accordingly, to the
extent that this bill lowers a business� deductible expenses, it increases
taxable income.� The OLS estimates that the offsetting revenue gain will
approximate $254,000, assuming an effective tax rate of 6.0 percent.

Unit:

Legislative Budget and Finance Office

Analyst:

Juan C. Rodriguez

Revenue and Economic Policy Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

This fiscal note has been prepared pursuant to P.L.1980,
c.67 (C.52:13B-6 et seq.).