Horses

Bill Aims To Eliminate Sales Tax On N.J. Horse Stalls

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

A bill that would eliminate the sales tax on horse stall rental was introduced on Feb. 1 in the New Jersey Assembly by Ronald Dancer. 

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.”

This bill would clarify the sales tax collection responsibilities of horse boarding businesses in New Jersey by providing an exemption from the sales and use tax for the lease or rental of stable stalls and charges for horse boarding and other related services. Training services are currently not taxed.

Sign Up for E-News

Under the bill, the taxable service of “furnishing space for storage” would be redefined to exclude from tax charges for the lease or rental of stable stalls. The bill would provide that the service of “furnishing space for storage” would not include, and the taxable service therefore would 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 bill similarly would exempt from tax charges for boarding a horse. The bill provides that charges for storing a horse, pony, mule, donkey, or hinny in a barn, stable, or other similar structure or facility by a person engaged in the business of boarding or stabling or otherwise keeping or holding horses, ponies, mules, donkeys, or hinnies are exempt from the sales tax.

In addition, the bill would exempt from tax services that are provided for the care of horses, ponies, mules, donkeys, or hinnies boarded by persons engaged in the business of boarding horses. The bill would provide that charges for maintaining or servicing a horse, pony, mule, donkey, or hinny that is boarded or stabled or that is kept or held in a barn, stable, or other similar structure or facility by a person engaged in the business of boarding or stabling or otherwise keeping or holding horses, ponies, mules, donkeys, or hinnies would be exempt from the sales tax. 

The bill would take effect immediately and apply to lease and rental agreements entered into, and to charges for services rendered, on or after the first day of the first month of the first calendar quarter beginning at least 90 calendar days after the date of enactment. The bill would provide transitional rules that apply to agreements covering periods beginning and ending before and on or after the date the exemptions provided by the bill first apply. 

“The purpose of this bill is to clarify the tax collection responsibilities of horse boarding businesses, and to provide for a more equitable treatment of livestock kept under the care of farmers in this State. The Division of Taxation in the Department of the Treasury has failed to provide clear and consistent guidance on the taxability of boarding and other services provided to horses that are boarded for a variety of different purposes by different types of boarding businesses, and has adopted rules and regulations that have led to differences in the tax treatment of boarding horses in comparison to other livestock that receive more favorable treatment as farm animals,” the bill statement said.

“These actions have created confusion within the agricultural community and increased the cost of doing businesses for horse boarding and other farm businesses attempting to maintain compliance with current law. The actions have also placed New Jersey horse boarding and other farm businesses at a competitive disadvantage with similar businesses in surrounding states that do not require businesses to collect tax on charges for boarding horses.

“By providing an exemption for all horse boarding and related services, this bill eliminates the confusion and reduces the overall cost of doing business within this State. Moreover, by providing an exemption, the bill levels the playing field for New Jersey horse boarding businesses and their out-of-State counterparts, and provides for a more equitable treatment of all livestock kept under the care of farmers.”

The New Jersey Horse Council is encouraging horsemen to write to their legislators in support of Bill A2682.

The bill was referred to the Assembly Agriculture & Natural Resources Committee. The Committee members are Bob Andrzejczak, Chair; Eric Houghtaling, Vice-Chair, Ronald Dancer, Parker Space and Adam Taliaferro.

Find contact information on your legislators at http://www.njleg.state.nj.us/members/legsearch.asp

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.

Download the FREE TAPinto App! Click here for Android - Click here for iOS to get news as it is happening.

TAP Into Another Town's News:

You May Also Be Interested In

Sign Up for E-News

Montville

Upcoming Events

Carousel_image_aa295fc6005d625aee04_mini_magick20180507-110570-11z5yr6

Mon, May 28

Montville Township, Montville

Memorial Day

Giving Back

Tue, May 29, 10:00 AM

Montville Township Public Library, Montville

Storytime

Education

Carousel_image_e0e7d0a5a9b140835150_trinity_christian_school_students_commemorate_veterans_day_2016__2018_tapinto_montville

Wed, May 30, 11:00 AM

Montville Township Community Park - VFW Post 5481, Montville

Memorial Day Commemoration by VFW

Giving Back

Carousel_image_06425c221f5dc443409d_mini_magick20180507-110605-14u7w3

Thu, May 31, 1:00 PM

Montville Township Public Library, Montville

Montville "U": Leonard Bernstein: America’s ...

Education

Fri, June 1, 5:30 PM

Darress Theatre, Boonton

Magic Show Extravaganza

Arts & Entertainment Giving Back

Butterfly Bonanza Flies to Pyramid Mountain June 9

May 26, 2018

MONTVILLE, NJ. On Saturday, June 9, from 12 - 4 p.m., celebrate the beauty and importance of New Jersey’s butterflies and other pollinators at the annual Butterfly Bonanza at Pyramid Mountain Natural Historic Area in Montville Township.

Butterfly Bonanza is packed with excitement, entertainment, and education for all ages. Enjoy a guided ‘Bug Safari’ tour of ...

Two Montville Veterans Honored by Morris County Freeholders

May 27, 2018

MONTVILLE, NJ – Two Montville Township residents were honored by the Board of Chosen Freeholders May 23 at the annual Memorial Day commemoration event held on the Morris County Courthouse lawn.

John Mascellino, U.S. Army, and Kenneth Hanzl, U.S. Army, received the county’s Distinguished Service Medal for their service.

The county’s Distinguished Service Medal is unique to ...

Cedar Hill 5th Grader Gets Pied for a Purpose

May 20, 2018

MONTVILLE, NJ – Joe Signorella, a fifth grader at Cedar Hill Elementary School in Towaco, wanted to come up with a great idea for his Treps marketplace booth. Treps is an afterschool program that teaches the students how to run a business: advertising, pricing, financing. But first you have to come up with your product or service.

Joe had some ideas, like selling soccer balls since he ...

10-Year Old Boy Battling Cancer Receives Generous Donation From Randolph Hockey Family

May 20, 2018

RANDOLPH, NJ- While the inter-town hockey battles on the ice between Randolph and Roxbury are fierce at every age level, when it comes to real life battles off the ice there is no hesitation to offer help to their neighbor.

Such is the case with a recent gesture of unity and support from the Randolph Varsity hockey team, when they came together to deliver good wishes and ...

Tour of Somerville Weekend: Quarter-Mile Sprints Add High-Speed Dynamic

May 22, 2018

SOMERVILLE, NJ  - The grand daddy of ‘em  all, the 75-year-old Tour of Somerville 50-mile bicycle race, anchors a weekend of world class cycling in Bound Brook and downtown Somerville May 24-28, with a new event added Sunday night to draw more spectators downtown.

Spectators this year will see an additional day of racing beginning with the Bound Brook Criterium on ...

Butterfly Bonanza Flies to Pyramid Mountain June 9

May 26, 2018

MONTVILLE, NJ. On Saturday, June 9, from 12 - 4 p.m., celebrate the beauty and importance of New Jersey’s butterflies and other pollinators at the annual Butterfly Bonanza at Pyramid Mountain Natural Historic Area in Montville Township.

Butterfly Bonanza is packed with excitement, entertainment, and education for all ages. Enjoy a guided ‘Bug Safari’ tour of ...

Columns

OPEN HOUSES This Weekend 5/26-5/27 2018

The following homes have OPEN HOUSES presented by RE/MAX Neighborhood Properties this weekend.

SATURDAY, MAY 26: 

  From 12 - 2 p.m.

  136 Changebridge, Unit B6, Montville

  Click HERE to see the full listing.

 

SUNDAY, MAY 27:

  From 1 - 4 p.m.

  16 Schneider Lane, Montville

  Click HERE to see the full listing.

 

OPEN HOUSES this weekend 5/19-5/20 2018

The following homes have OPEN HOUSES presented by RE/MAX Neighborhood Properties this weekend.

SATURDAY, MAY 19, 2018:

  From 11 a.m. - 1 p.m.

  44 Union Street, C0008, Montclair

  Click HERE to see Full Listing.

  

SUNDAY, MAY 20, 2018:

  From 1 - 4 p.m.

  9 Condit Road, Mountain Lakes

   Click HERE to see Full ...

AtlantiCast

AtlantiCast: Episode 15

On this week’s AtlantiCast, learn some important tips for controlling and avoiding diabetes from an Atlantic Health System expert, see how Atlantic Health is advancing cutting-edge research, hear what’s being done to keep health care environmentally friendly and much more!

 

'Turning Off the Morning News' brings comic twist

‘Turning Off the Morning News’ tackles today’s issues with a comic twist

By Liz Keill

PRINCETON, N J – Despite the late night comics, no one quite captures the insanity of the political/social status world like Christopher Durang.

His latest play, “Turning off the Morning News” hit the ground running.  John Pankow as Jimmy addresses the audience, ...

'To Kill a Mockingbird' Sustains Timeless Appeal

SUMMIT, NJ – The Summit Playhouse provides a stellar production of a much loved classic, “To Kill a Mockingbird.”

The Harper Lee novel, later a Gregory Peck film and now a stage production, retains all the warmth, intensity and integrity that made it such an appealing hit in the 1960s. And there will be a new production on Broadway in December with a script by Aaron Sorkin ...

Pet Corner