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

Milltown/Spotswood

City Outlines $340K Parks Improvement Project, Plans To Create One More

June 20, 2018

NEW BRUNSWICK - City officials today outlined plans to improve to four municipal parks - at a cost of nearly $340,000 - and announced plans for creation of another park on a lot where previously there stood three abandoned homes.

Mayor James Cahill’s office said the city council tonight will consider resolutions allocating $150,000 for an agreement with the private, non-profit agency ...

Thousands Expected in Hillsborough for Sourland Music Festival

June 20, 2018

HILLSBOROUGH, NJ – The Sourland Music Festival will be held Saturday, June 23 from 3-10 p.m. at the Hillsborough Golf & Country Club at 146 Wertsville Road, rain or shine, to benefit the Sourland Conservancy.

Discounted advance-sale tickets are available online only, Children under 12 are admitted free.

“We’ve got a really powerful lineup of the region’s most ...

Upcoming Events

Sat, July 14, 10:00 AM

Maplewood Memorial Library, Maplewood

Bag-of-Books Sale - Friends of Maplewood Library

Wed, July 25, 7:30 PM

Chatham United Methodist Church, Chatham

Masterwork’s Summer Sings Conclude with Verdi ...

Girl Scout Seeks Donations of Craft Items Tomorrow

June 7, 2018

Hi, EB Community, 

 
I am Alexandra Gonzalez. I am currently a Junior at EBHS. I am as well a Girl Scout and working on my Gold Award. I am in search of donations and would like to inform you on the issue my project will address, how you can help, and why this is important. 

The project I am working on will be impacting the Special education students in East Brunswick Public ...

What Do TSA Officers Want Travelers To Know?

June 20, 2018

RICHMOND, VA  – You come to an airport checkpoint hoping to catch your flight and arrive at your destination safely and on time. Seems simple enough, but sometimes something you weren’t expecting comes up at the checkpoint and it slows you down.

Meet Deborah Simms and Ryan Seymour, Transportation Security Administration officers at Richmond International Airport (RIC).

Third-annual Juneteenth Parade and Heritage Festival in New Brunswick this Weekend

June 13, 2018

NEW BRUNSWICK, NJ - The Vulcan Pioneers of New Brunswick, comprising the city's Black Fire Fighters Association, will host the Juneteenth Parade on Saturday, June 16 to commemorate the Emancipation Proclamation.

Juneteenth celebrations are held across the country to mark the announcement of the abolition of slavery in Texas in June 1865. That state was one of the last locations to learn of ...

The Woman in the Window by A.J. Finn

The Woman in the Window by A.J. Finn (William Morrow, 2018)

 

A friend, whose opinion on literature I respect greatly, reported to me recently that she had just finished reading A.J. Finn's debut novel, The Woman in the Window. Of it she said, “I wish I hadn't finished it,” which I interpreted to mean, “It was so good I'm sorry that I finished it.” ...