Horses

NJ Assembly Votes To Exclude Horse Boarding From Sale Tax

73adea4f4fb17aa08e67_horse_in_stall.JPG
Stalls used to house horses are currently subject to sales tax in New Jersey. A bill passed in the Assembly would change that. Credits: Lillian Shupe
73adea4f4fb17aa08e67_horse_in_stall.JPG

TRENTON, N.J. — A bill that would eliminate the sales tax on horse stall rental has cleared the New Jersey Assembly.

The bill, A1045 was introduced in January and some amendments were made before it was released from committee. The Assembly voted on June 7, 72-0 to approve the measure with one abstention and seven members not voting.

“There has been ongoing confusion in the industry about tax responsibilities, and as a result, stables and services have closed up shop and abandoned the state,” said primary bill sponsor, Ronald Dancer (R-Ocean), who has been pushing the measure since November 2013.

Sign Up for E-News

Separately stated charges for stall rental became subject to sales tax on Oct. 1, 2006. Such charges are treated as the “furnishing of space for storage.”

The bill clarifies the sales tax collection responsibilities of horse-boarding businesses in New Jersey by providing an exemption from tax for the lease or rental of certain stable stalls and charges for horse boarding and certain other related services.

According to the bill statement:

Under the amended bill, the taxable service of “furnishing space for storage” is redefined to exclude from tax charges for the lease or rental of certain stable stalls. The bill provides that the service of “furnishing space for storage” does not include, and the taxable service therefore does not apply to, charges for the lease or rental of a stall in a barn, stable, or other similar structure or facility for the boarding or stabling or for the keeping or holding of a horse, pony, mule, donkey, or hinny.

The tax exemptions would apply to taxable years beginning on or after Jan. 1 following the bill’s date of enactment.

“Horse-related business plays an important role in our state’s economy,” Dancer said, “Establishing clear sales tax guidelines will save New Jersey jobs and businesses. Horses are farm livestock, not ‘storage units’ in a warehouse.”

In its fiscal analysis, the Office of Legislative Services (OLS) concluded that this bill will result in an indeterminate annual decrease in sales and use tax collections. The OLS reported that it cannot independently estimate the annual amount of sales and use tax revenue which will be lost since it does not have access to relevant industry data regarding the number of horse-boarding businesses in the state which are currently subject to the sales and use tax. The OLS does not have the average cost for providing boarding and additional services to horses in the state, and the average number of stalls a barn, stable, or other similar structure or facility each horse-boarding business leases or rents, which are essential to providing an estimate.

The measure will next have to go through the State Senate.

See more Equestrian news at www.TAPintoHorses.net

Find us on Facebook https://www.facebook.com/TAPintoHorses/

Sign Up for E-News to get top stories delivered daily to your inbox.

TAP Into Another Town's News:

You May Also Be Interested In

Sign Up for E-News

Cranford

Three School Buses Involved in Crash at Clark's ALJ High School

June 21, 2018

CLARK, NJ — Three buses collided in the Arthur L. Johnson High School parking lot around noon on Thursday in a chain-reaction crash. 

Students were on board at the time, according to Police Chief Pedro Matos. One driver and two students had minor injuries, Matos said.   

According to a Honeywell alert issued by the Clark Public School District, ...

2018 Cranford High School Graduation

June 22, 2018

CRANFORD - It was a beautiful day as the members of the Cranford High School Class of 2018 took their places on Memorial Field for the Graduation Ceremony on Thursday night. 

Class President Anna Kalafatis, Principal Mark Cantagallo, Superintendent Dr. Scott Rubin, Board of Education President Kurt Petschow, Jr., Salutatorian Emily Wilson, and Valedictorian Meg Cui each ...

Cranford High Senior Prom

CRANFORD - Cranford High School held its Senior Prom on Friday at the Birchwood Manor in Whippany. Check out the photos our readers submitted. 

Spring Art Show Displays Students' Creativity

CRANFORD - The Cranford High School Spring Art Show was held at the Cranford Public Library, on Tuesday. 

From 6:30 p.m. to 8:00 p.m., artwork from classes such as crafts, graphic design, photography, and drawing was on display for the public to promote the creative and unique projects done by students throughout the school year. 

Sports Betting Is Off And Running in New Jersey

June 14, 2018

OCEANPORT, NJ — Governor Phil Murphy officially ushered in sports betting in New Jersey when he made the initial wager at Monmouth Park  on June 14.

Governor Murphy, an avid soccer fan who has called ESPN’s “Sportscenter” his favorite show, placed the first bet  — $20 on Germany to win the World Cup. He also bet $20 on the N.J. Devils to ...

Are Your Employees Driving Distracted?

June 22, 2018

Multi-tasking is a myth.  The human brain cannot actually perform two functions at the same time.

Instead, it switches from one task to other very quickly. Even though the change may only take milliseconds, it takes the brain time to come up to speed on the new task.

What does this have to do with driving? It's simple. Trying to do more than one thing while behind the wheel of an ...

Healthy U Spring Symposium Marks 10 Years of Community Impact

WESTFIELD, NJ — More than 100 Healthy U champions and partners from YMCAs and schools from all over the state gathered at MetLife Stadium in East Rutherford on May 18 to celebrate 10 years of community impact. Healthy U was also formally presented with the 2017 CATCH® Award for Excellence in State Health. 

CATCH (Coordinated Approach to Child Health) is the ...

Summer Water Safety Tips

Summer is a great time for parents to ensure their children are equipped with essential water safety skills. The Westfield Area YMCA offers weekly swim lessons all summer long and in Monday-Thursday weekly sessions.

Drowning is the second leading cause of death for children ages 5-14. Remember these tips to ensure the water is an enjoyable and safe place to ...

Upcoming Events

Sat, June 23, 9:00 AM

Between Park Street and Washington Street, Westfield

Walking Tour: What Makes a Great House and ...

Home & Garden

'Half Time' delivers with sterling cast

MILLBURN, NJ – The Paper Mill Playhouse is putting on a smashing new production of “Half Time” to round out its current season.

With actress Georgia Engel in an engaging performance, the cast also features Donna McKehnie, Andre De Shieilds and Lilias White, among a host of other talents.

The musical centers on an effort to have seniors perform a dance number during ...

'Half Time' lights up Paper Mill stage

‘Half Time’ turns the tables on aging in gleeful production

By Liz Keill

MILLBURN, NJ – The Paper Mill Playhouse is putting on a smashing new production of “Half Time” to round out its current season.

With actress Georgia Engel in an engaging performance, the cast also features Donna McKehnie, Andre De Shieilds and Lilias White, among a host of other ...