New Jersey 2024-2025 Regular Session

New Jersey Assembly Bill A5556

Introduced
4/10/25  

Caption

"Road to Tax Relief Act"; provides credit for sales tax remittances for businesses impacted by public highway projects, including Interstate 80 project; provides tax credits for certain businesses and persons impacted by same projects; makes appropriation.

Impact

If enacted, A5556 would significantly amend the existing tax landscape for small businesses operating near highway construction zones. It allows retail establishments—defined as businesses with a maximum of 50 full-time employees—to claim tax credits equivalent to their losses in revenue due to reduced accessibility and customer traffic during construction. The articulation of 'impacted construction zones' is critical, as these zones are established to delineate areas where construction impedes business operations and revenue generation.

Summary

Assembly Bill A5556, known as the 'Road to Tax Relief Act', is designed to provide tax relief to businesses and individuals adversely impacted by public highway projects. It specifically targets retail businesses that operate within designated 'impacted construction zones' surrounding highway construction efforts, including significant repair work on Interstate 80. The bill offers refundable tax credits against sales tax remittances proportionate to the tax collected by these businesses during the ongoing construction period.

Contention

The bill has generated discussion regarding its fiscal implications and the adequacy of the defined relief measures. Some lawmakers express concern that the financial burdens on the state could be significant given the broad application of the tax credits. Additionally, there is debate over whether the criteria for defining an 'impacted construction zone' can effectively capture all businesses affected by highway work, particularly when considering indirect impacts that may not directly correlate with measurable revenue losses. Opposing views further question the sustainability of funding these tax credits without exacerbating budgetary constraints.

Companion Bills

NJ S4370

Same As "Road to Tax Relief Act"; provides credit for sales tax remittances for businesses impacted by public highway projects, including Interstate 80 project; provides tax credits for certain businesses and persons impacted by same projects; makes appropriation.

Previously Filed As

NJ S4370

"Road to Tax Relief Act"; provides credit for sales tax remittances for businesses impacted by public highway projects, including Interstate 80 project; provides tax credits for certain businesses and persons impacted by same projects; makes appropriation.

NJ A4865

Establishes temporary sales tax exemption for small businesses impacted by ongoing public highway projects.

NJ A5651

Provides license renewal fee relief for businesses and individuals impacted by public highway projects.

NJ S4462

Provides license renewal fee relief for businesses and individuals impacted by public highway projects.

NJ A5554

"Road to Relief Act"; establishes EDA grant program to support increased transportation expenses incurred by certain commuters, employees, and businesses impacted by certain public highway projects, including ongoing Interstate 80 project; appropriates $1 million.

NJ S4369

"Road to Relief Act"; establishes EDA grant program to support increased transportation expenses incurred by certain commuters, employees, and businesses impacted by certain public highway projects, including ongoing Interstate 80 project; appropriates $1 million.

NJ A873

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

NJ S1865

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

NJ S841

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

NJ A2704

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

Similar Bills

NJ S4370

"Road to Tax Relief Act"; provides credit for sales tax remittances for businesses impacted by public highway projects, including Interstate 80 project; provides tax credits for certain businesses and persons impacted by same projects; makes appropriation.

NJ S4599

"New Jersey Workforce Housing Partnership Act"; incentivizes homebuyer assistance to certain employees, provides tax credits for development of certain workforce housing, and provides certain assistance and affordability protections for middle-income residents; appropriates $55 million.

NJ S1323

Revises various provisions concerning New Jersey Aspire Program and surrender of tax credits issued under New Jersey Economic Recovery Act of 2020.

NJ A2076

Revises various provisions concerning New Jersey Aspire Program and surrender of tax credits issued under New Jersey Economic Recovery Act of 2020.

NJ S4462

Provides license renewal fee relief for businesses and individuals impacted by public highway projects.

NJ A5651

Provides license renewal fee relief for businesses and individuals impacted by public highway projects.

NJ S4175

Revises various requirements of New Jersey Aspire Program and establishes Redevelopment Project Bridge Financing Program.

NJ A5833

Revises various requirements of New Jersey Aspire Program and establishes Redevelopment Project Bridge Financing Program.