New Jersey 2024-2025 Regular Session

New Jersey Assembly Bill A4788

Introduced
9/19/24  

Caption

Exempts purchases of natural gas and electricity for residential customers from sales and use tax.

Impact

If passed, A4788 would amend the existing sales and use tax law, specifically related to the taxation of natural gas and electricity for residential use. Public utilities will be mandated to deduct the state sales and use tax from customers' monthly bills, thus decreasing the overall electricity and gas expenditure for households. This could result in significant savings for residents, although the exact financial implications would depend on the volume of energy used by individual households.

Summary

Assembly Bill A4788 aims to provide relief to residential customers in New Jersey by exempting purchases of natural gas and electricity from the state's sales and use tax. This legislative measure addresses growing concerns over rising energy costs affecting low- and middle-income households. By alleviating the tax burden on vital utilities, the bill seeks to mitigate financial stress on families who may be struggling to maintain affordability in their essential services.

Contention

The bill may face debates regarding its fiscal implications for state revenues, as tax exemptions might reduce the funds available for public services. Some lawmakers may argue that while the intention is to alleviate financial burdens on residents, the potential decrease in tax income could impact critical state programs. Critics may also raise concerns about the long-term sustainability of such exemptions and whether further subsidies or compensatory measures would be necessary to counterbalance any revenue losses.

Companion Bills

No companion bills found.

Previously Filed As

NJ A5450

Exempts purchases of natural gas and electricity for residential customers from sales and use tax during coldest months of year.

NJ A1242

Exempts purchases of natural gas and electricity for residential customers from sales and use tax during coldest months of year.

NJ A4951

Exempts purchases of natural gas and electricity for residential customers from sales and use tax for duration of winter season.

NJ S3354

Exempts purchases of natural gas and electricity for residential customers from sales and use tax for duration of winter season.

NJ A4986

Exempts purchases of natural gas and electricity for residential customers from sales and use tax during coldest winter months.

NJ A4706

Exempts sales of pet food purchased for pets from the sales and use tax.

NJ A3234

Exempts sales of pet food purchased for pets from the sales and use tax.

NJ S1695

Excludes value of certain manufacturer rebates from sales price of motor vehicles taxable under sales and use tax.

NJ A2375

Provides sales and use tax exemption for sales of fuel cell devices and systems and certain tangible personal property powered by fuel cells.

NJ S1925

Excludes value of certain manufacturer rebates from sales price of motor vehicles taxable under sales and use tax.

Similar Bills

No similar bills found.