ASSEMBLY, No. 1138

 

STATE OF NEW JERSEY

 

Introduced Pending Technical Review by Legislative Counsel

 

PRE-FILED FOR INTRODUCTION IN THE 1996 SESSION

 

 

By Assemblywoman MURPHY

 

 

An Act concerning the sales and use tax treatment of tangible personal property purchased for lease, amending and supplementing P.L.1966, c.30 and amending P.L.1989, c.123.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. Section 2 of P.L.1966, c.30 (C.54:32B-2) is amended to read as follows:

    2. Unless the context in which they occur requires otherwise, the following terms when used in this act shall mean:

    (a) Person. Person includes an individual, partnership, society, association, joint stock company, corporation, public corporation or public authority, estate, receiver, trustee, assignee, referee, and any other person acting in a fiduciary or representative capacity, whether appointed by a court or otherwise, and any combination of the foregoing.

    (b) Purchase at retail. A purchase by any person at a retail sale.

    (c) Purchaser. A person who purchases property or who receives services.

    (d) Receipt. The amount of the sales price of any property and the charge for any service taxable under this act, valued in money, whether received in money or otherwise, including any amount for which credit is allowed by the vendor to the purchaser, without any deduction for expenses or early payment discounts, but excluding any credit for property of the same kind that is not tangible personal property purchased for lease accepted in part payment and intended for resale, excluding the cost of transportation where such cost is separately stated in the written contract, if any, and on the bill rendered to the purchaser, and excluding the amount of the sales price for which food stamps have been properly tendered in full or part payment pursuant to the federal Food Stamp Act of 1977, Pub.L.95-113 (7 U.S.C. § 2011 et seq.).

    (e) Retail sale. (1) A sale of tangible personal property to any person for any purpose, other than (A) for resale either as such or as converted into or as a component part of a product produced for sale by the purchaser, or (B) for use by that person in performing the services subject to tax under subsection (b) of section 3 where the property so sold becomes a physical component part of the property upon which the services are performed or where the property so sold is later actually transferred to the purchaser of the service in conjunction with the performance of the service subject to tax.

    (2) For the purposes of this act, the term retail sales includes:

    Sales of tangible personal property to all contractors, subcontractors or repairmen of materials and supplies for use by them in erecting structures for others, or building on, or otherwise improving, altering, or repairing real property of others.

    (3) For the purposes of this act, [the term retail sale includes] the [purchase] lease of tangible personal property purchased for lease is a retail sale to the lessor.

    (4) The term retail sales does not include:

    (A) Professional, insurance, or personal service transactions which involve the transfer of tangible personal property as an inconsequential element, for which no separate charges are made.

    (B) The transfer of tangible personal property to a corporation, solely in consideration for the issuance of its stock, pursuant to a merger or consolidation effected under the laws of New Jersey or any other jurisdiction.

    (C) The distribution of property by a corporation to its stockholders as a liquidating dividend.

    (D) The distribution of property by a partnership to its partners in whole or partial liquidation.

    (E) The transfer of property to a corporation upon its organization in consideration for the issuance of its stock.

    (F) The contribution of property to a partnership in consideration for a partnership interest therein.

    (G) The sale of tangible personal property where the purpose of the vendee is to hold the thing transferred as security for the performance of an obligation of the vendor.

    (H) The purchase of tangible personal property for lease within this State or elsewhere.

    (f) Sale, selling or purchase. Any transfer of title or possession or both, exchange or barter, rental, lease or license to use or consume, conditional or otherwise, in any manner or by any means whatsoever for a consideration, or any agreement therefor, including the rendering of any service, taxable under this act, for a consideration or any agreement therefor.

    (g) Tangible personal property. Corporeal personal property of any nature.

    (h) Use. The exercise of any right or power over tangible personal property by the purchaser thereof and includes, but is not limited to, the receiving, storage or any keeping or retention for any length of time, withdrawal from storage, any installation, any affixation to real or personal property, or any consumption of such property. Use also includes the exercise of any right or power over intrastate or interstate telecommunications and the benefit of advertising space in a telecommunications user or provider directory or index.

    (i) Vendor. (1) The term "vendor" includes:

    (A) A person making sales of tangible personal property or services, the receipts from which are taxed by this act;

    (B) A person maintaining a place of business in the State and making sales, whether at such place of business or elsewhere, to persons within the State of tangible personal property or services, the use of which is taxed by this act;

    (C) A person who solicits business either by employees, independent contractors, agents or other representatives or by distribution of catalogs or other advertising matter and by reason thereof makes sales to persons within the State of tangible personal property or services, the use of which is taxed by this act;

    (D) Any other person making sales to persons within the State of tangible personal property or services, the use of which is taxed by this act, who may be authorized by the director to collect the tax imposed by this act; and

    (E) The State of New Jersey, any of its agencies, instrumentalities, public authorities, public corporations (including a public corporation created pursuant to agreement or compact with another state) or political subdivisions when such entity sells services or property of a kind ordinarily sold by private persons.

    (F) A person who [purchases] leases tangible personal property purchased for lease, whether in this State or elsewhere. For the purposes of Title 54 of the Revised Statutes, the presence of leased tangible personal property in this State is deemed to be a place of business in this State.

    (2) In addition, when in the opinion of the director it is necessary for the efficient administration of this act to treat any salesman, representative, peddler or canvasser as the agent of the vendor, distributor, supervisor or employer under whom he operates or from whom he obtains tangible personal property sold by him or for whom he solicits business, the director may, in his discretion, treat such agent as the vendor jointly responsible with his principal, distributor, supervisor or employer for the collection and payment over of the tax.

    (j) Hotel. A building or portion of it which is regularly used and kept open as such for the lodging of guests. The term "hotel" includes an apartment hotel, a motel, boarding house or club, whether or not meals are served.

    (k) Occupancy. The use or possession or the right to the use or possession, of any room in a hotel.

    (l) Occupant. A person who, for a consideration, uses, possesses, or has the right to use or possess, any room in a hotel under any lease, concession, permit, right of access, license to use or other agreement, or otherwise.

    (m) Permanent resident. Any occupant of any room or rooms in a hotel for at least 90 consecutive days shall be considered a permanent resident with regard to the period of such occupancy.

    (n) Room. Any room or rooms of any kind in any part or portion of a hotel, which is available for or let out for any purpose other than a place of assembly.

    (o) Admission charge. The amount paid for admission, including any service charge and any charge for entertainment or amusement or for the use of facilities therefor.

    (p) Amusement charge. Any admission charge, dues or charge of roof garden, cabaret or other similar place.

    (q) Charge of a roof garden, cabaret or other similar place. Any charge made for admission, refreshment, service, or merchandise at a roof garden, cabaret or other similar place.

    (r) Dramatic or musical arts admission charge. Any admission charge paid for admission to a theatre, opera house, concert hall or other hall or place of assembly for a live, dramatic, choreographic or musical performance.

    (s) Lessor. Any person who is the owner, licensee, or lessee of any premises or tangible personal property which he leases, subleases, or grants a license to use to other persons.

    (t) Place of amusement. Any place where any facilities for entertainment, amusement, or sports are provided.

    (u) Casual sale. Casual sale means an isolated or occasional sale of an item of tangible personal property by a person who is not regularly engaged in the business of making sales at retail where such property was obtained by the person making the sale, through purchase or otherwise, for his own use in this State.

    (v) Motor vehicle. Motor vehicle shall include all vehicles propelled otherwise than by muscular power (excepting such vehicles as run only upon rails or tracks), trailers, semitrailers, housetrailers, or any other type of vehicle drawn by a motor-driven vehicle, and motorcycles, designed for operation on the public highways.

    (w) "Persons required to collect tax" or "persons required to collect any tax imposed by this act" shall include: every vendor of tangible personal property or services; every recipient of amusement charges; every operator of a hotel; every lessor; and every vendor of telecommunications. Said terms shall also include any officer or employee of a corporation or of a dissolved corporation who as such officer or employee is under a duty to act for such corporation in complying with any requirement of this act and any member of a partnership. Provided, however, the vendor of tangible personal property to all contractors, subcontractors or repairmen, consisting of materials and supplies for use by them in erecting structures for others, or building on, or otherwise improving, altering or repairing real property of others, shall not be deemed a person required to collect tax, and the tax imposed by any section of this act shall be paid directly to the director by such contractors, subcontractors or repairmen.

    (x) "Customer" shall include: every purchaser of tangible personal property or services; every patron paying or liable for the payment of any amusement charge; and every occupant of a room or rooms in a hotel.

    (y) "Property and services the use of which is subject to tax" shall include: (1) all property sold to a person within the State, whether or not the sale is made within the State, the use of which property is subject to tax under section 6 or will become subject to tax when such property is received by or comes into the possession or control of such person within the State; (2) all services rendered to a person within the State, whether or not such services are performed within the State, upon tangible personal property the use of which is subject to tax under section 6 or will become subject to tax when such property is received by or comes into possession or control of such person within the State; (3) intrastate or interstate telecommunications charged to a service address in this State; and (4) advertising space in a telecommunications user or provider directory or index distributed in this State.

    (z) Director. Director means the Director of the Division of Taxation of the State Department of the Treasury, or any officer, employee or agency of the Division of Taxation in the Department of the Treasury duly authorized by the director (directly, or indirectly by one or more redelegations of authority) to perform the functions mentioned or described in this act.

    (aa) "Lease" means the transfer of possession or control of tangible personal property by an agreement, not transferring sole title, as may be evidenced by a contract, contracts, or by implication from other circumstances including course of dealing or usage of trade or course of performance[, for a period of more than 28 days].

    (bb) "The amount of the sales price" of leased tangible personal property purchased for lease means, at the election of the lessor, either (1) the amount of the lessor's purchase price [or] of the tangible personal property when purchased for lease, (2) the amount of the total of the lease payments attributable to the lease of such property pursuant to a lease agreement, or (3) the amount of each lease payment when received by the lessor from the lessee pursuant to a lease agreement, except that paragraph (3) shall not be selected by a lessor of a motor vehicle or a boat or vessel registered or subject to registration under P.L.1962, c.73 (C.12:7-34.56 et seq.) purchased for lease and subject to section 3 of P.L.1966, c.30 (C.54:32B-3). [Tangible] An election shall be made by the lessor for each lease of tangible personal property entered into between the lessor and a lessee. Leased tangible personal property purchased for lease is subject to the provisions of subsection (a) of section 3 of P.L.1966, c.30 (C.54:32B-3).

    (cc) "Telecommunications" means the act or privilege of originating or receiving messages or information through the use of any kind of one-way or two-way communication; including but not limited to voice, video, facsimile, teletypewriter, computer, cellular mobile or portable telephone, specialized mobile or portable pager or paging service, or any other type of communication; using electronic or electromagnetic methods, and all services and equipment provided in connection therewith or by means thereof. "Telecommunications" shall not include:

    (1) one-way radio or television broadcasting transmissions available universally to the general public without a fee;

    (2) purchases of telecommunications by a telecommunications provider for use as a component part of telecommunications provided to an ultimate retail consumer who (A) originates or terminates the taxable end-to-end communications or (B) pays charges exempt from taxation pursuant to paragraph (5) of this subsection;

    (3) services provided by a person, or by that person's wholly owned subsidiary, not engaged in the business of rendering or offering telecommunications services to the public, for private and exclusive use within its organization, provided however, that "telecommunications" shall include the sale of telecommunications services attributable to the excess unused telecommunications capacity of that person to another;

    (4) charges in the nature of subscription fees paid by subscribers for cable television service; and

    (5) charges subject to the local calling rate paid by inserting coins into a coin operated telecommunications device available to the public.

    (dd) "Interstate telecommunication" means any telecommunication that originates or terminates inside this State, including international telecommunication.

    (ee) "Intrastate telecommunication" means any telecommunication that originates and terminates within this State.

(cf: P.L.1995, c.184, s.1)

 

    2. Section 3 of P.L.1966, c.30 (C.54:32B-3) is amended to read as follows:

    3. There is imposed and there shall be paid a tax of 6% upon:     (a) (1) The receipts from every retail sale of tangible personal property, except as otherwise provided in this act.

    (2) (i) If the lessor of tangible personal property purchased for lease elects to pay tax on the amount of the sales price as provided in paragraph (2) or (3) of subsection (bb) of section 2 of P.L.1966, c.30 (C.54:32B-2), any and each subsequent lease or rental is a retail sale and a subsequent sale of such property is a retail sale. The lessor shall make an election under subsection (bb) of section 2 of P.L.1966, c.30 (C.54:32B-2) for each subsequent lease of the property. (ii) If a lessor elects to pay tax on the amount of the sales price as defined in paragraph (1) of subsection (bb) of section 2 of P.L.1966, c.30 (C.54:32B-2), any and each subsequent lease, rental or sale by that lessor shall not be a retail sale.

    (b) The receipts from every sale, except for resale, of the following services:

    (1) Producing, fabricating, processing, printing or imprinting tangible personal property, performed for a person who directly or indirectly furnishes the tangible personal property, not purchased by him for resale, upon which such services are performed.

    (2) Installing tangible personal property, or maintaining, servicing, repairing tangible personal property not held for sale in the regular course of business, whether or not the services are performed directly or by means of coin-operated equipment or by any other means, and whether or not any tangible personal property is transferred in conjunction therewith, except (i) such services rendered by an individual who is engaged directly by a private homeowner or lessee in or about his residence and who is not in a regular trade or business offering his services to the public, (ii) such services rendered with respect to personal property exempt from taxation hereunder pursuant to section 13 of P.L.1980, c.105 (C.54:32B-8.1), (iii) (Deleted by amendment, P.L.1990, c.40), (iv) any receipts from laundering, dry cleaning, tailoring, weaving, pressing, shoe repairing and shoeshining and (v) services rendered in installing property which, when installed, will constitute an addition or capital improvement to real property, property or land.

    (3) Storing all tangible personal property not held for sale in the regular course of business and the rental of safe deposit boxes or similar space.

    (4) Maintaining, servicing or repairing real property, other than a residential heating system unit serving not more than three families living independently of each other and doing their cooking on the premises, whether the services are performed in or outside of a building, as distinguished from adding to or improving such real property by a capital improvement, but excluding services rendered by an individual who is not in a regular trade or business offering his services to the public, and excluding garbage removal and sewer services performed on a regular contractual basis for a term not less than 30 days.

    (5) Advertising services, except advertising services for use directly and primarily for publication in newspapers and magazines and except for direct-mail advertising processing services in connection with distribution to out-of-State recipients.

    (6) Advertising space in a telecommunications user or provider directory or index distributed in this State.

    Wages, salaries and other compensation paid by an employer to an employee for performing as an employee the services described in this subsection are not receipts subject to the taxes imposed under this subsection (b).

    Services otherwise taxable under paragraph (1) or (2) of this subsection (b) are not subject to the taxes imposed under this subsection, where the tangible personal property upon which the services were performed is delivered to the purchaser outside this State for use outside this State.

    (c) Receipts from the sale of food and drink in or by restaurants, taverns, vending machines or other establishments in this State, or by caterers, including in the amount of such receipts any cover, minimum, entertainment or other charge made to patrons or customers:

    (1) In all instances where the sale is for consumption on the premises where sold;

    (2) In those instances where the vendor or any person whose services are arranged for by the vendor, after the delivery of the food or drink by or on behalf of the vendor for consumption off the premises of the vendor, serves or assists in serving, cooks, heats or provides other services with respect to the food or drink, except for meals especially prepared for and delivered to homebound elderly, age 60 or older, and to disabled persons, or meals prepared and served at a group-sitting at a location outside of the home to otherwise homebound elderly persons, age 60 or older, and otherwise homebound disabled persons, as all or part of any food service project funded in whole or in part by government or as part of a private, nonprofit food service project available to all such elderly or disabled persons residing within an area of service designated by the private nonprofit organization; and

    (3) In those instances where the sale is for consumption off the premises of the vendor, and consists of a meal, or food prepared and ready to be eaten, of a kind obtainable in restaurants as the main course of a meal, including a sandwich, except where food other than sandwiches is sold in an unheated state and is of a type commonly sold in the same form and condition in food stores other than those which are principally engaged in selling prepared foods;

    (4) Sales of food and beverages sold through coin-operated vending machines, at the wholesale price of such sale, which shall be defined as 70% of the retail vending machine selling price, except sales of milk, which shall not be taxed. Nothing herein contained shall affect other sales through coin-operated vending machines taxable pursuant to subsection (a) above or the exemption thereto provided by section 21 of P.L.1980, c.105 (C.54:32B-8.9).

    The tax imposed by this subsection (c) shall not apply to food or drink which is sold to an airline for consumption while in flight.

    (d) The rent for every occupancy of a room or rooms in a hotel in this State, except that the tax shall not be imposed upon (1) a permanent resident, or (2) where the rent is not more than at the rate of $2.00 per day.

    (e) (1) Any admission charge, where such admission charge is in excess of $0.75 to or for the use of any place of amusement in the State, including charges for admission to race tracks, baseball, football, basketball or exhibitions, dramatic or musical arts performances, motion picture theatres, except charges for admission to boxing, wrestling, kick boxing or combative sports exhibitions, events, performances or contests which charges are taxed under any other law of this State or under section 20 of P.L.1985, c.83 (C.5:2A-20), and, except charges to a patron for admission to, or use of, facilities for sporting activities in which such patron is to be a participant, such as bowling alleys and swimming pools. For any person having the permanent use or possession of a box or seat or lease or a license, other than a season ticket, for the use of a box or seat at a place of amusement, the tax shall be upon the amount for which a similar box or seat is sold for each performance or exhibition at which the box or seat is used or reserved by the holder, licensee or lessee, and shall be paid by the holder, licensee or lessee.

    (2) The amount paid as charge of a roof garden, cabaret or other similar place in this State, to the extent that a tax upon such charges has not been paid pursuant to subsection (c) hereof.

    (f) The receipts from every sale, except for resale, of intrastate or interstate telecommunications charged to an address in this State, regardless of where the services are billed or paid.

(cf: P.L.1995, c.184, s.2)

 

    3. Section 7 of P.L.1966, c.30 (C.54:32B-7) is amended to read as follows:

    7. Special rules for computing receipts and consideration. (a) The retail sales tax imposed under subsection (a) of section 3 and the compensating use tax imposed under section 6, when computed in respect to tangible personal property wherever manufactured, processed or assembled and used by such manufacturer, processor or assembler in the regular course of business within this State, shall be based on the price at which items of the same kind of tangible personal property are offered for sale by him.

    (b) Tangible personal property, which has been purchased by a resident of the State of New Jersey outside of this State for use outside of this State and subsequently becomes subject to the compensating use tax imposed under this act, shall be taxed on the basis of the purchase price of such property, provided, however:

    (1) That where a taxpayer affirmatively shows that the property was used outside such State by him for more than six months prior to its use within this State, such property shall be taxed on the basis of current market value of the property at the time of its first use within this State. The value of such property, for compensating use tax purposes, may not exceed its cost.

    (2) That the compensating use tax on such tangible personal property brought into this State (other than for complete consumption or for incorporation into real property located in this State) and used in the performance of a contract or subcontract within this State by a purchaser or user for a period of less than six months may be based, at the option of the taxpayer, on the fair rental value of such property for the period of use within this State.

    (c) [Leased] For leased tangible personal property which has been purchased in this State or outside this State for lease outside of this State and subsequently becomes subject to the compensating use tax [imposed under this act shall be taxed on the basis of the purchase price of such property, provided however, that the compensating use tax on such] when the property is brought into and used within this State, the compensating use tax may be based, at the option of the lessor, on the amount of the sales price as defined in paragraph (1), (2) or (3) of subsection bb. of section 2 of P.L.1966, c.30 (C.54:32B-2). If the lessor elects to pay tax pursuant to the sales price in paragraph (2) or (3) of subsection bb. of section 2 of P.L.1966, c.30 (C.54:32B-2), the calculation of the tax shall be based on the [total of the] lease payments attributable to the lease of that property attributable to the period of the lease remaining after first use in this State.

    (d) Unless leased tangible personal property purchased for lease has already been subject to the sales tax imposed under subsection (a) of section 3 or the compensating use tax imposed under section 6, the use tax computed with respect to such property, in the discretion of the director, may be assessed against the lessee or sub-lessee and shall be based on the total of the periodic payments required under the lease. The fact that the lessee has accepted in good faith the certificate of the lessor, in the form prescribed by the director, and the fact that the tax imposed on property purchased for lease in this act has been paid may be considered by the director, but shall not be deemed conclusive if good faith issuance or acceptance of such certificate is in question.

(cf: P.L.1989, c.123, s.3)

 

    4. Section 6 of P.L.1989, c.123 (C.54:32B-8.40) is amended to read as follows:

    6. Receipts from sales of tangible personal property purchased for lease or receipts from leases of tangible personal property are exempt from tax if the property, the use of such property or the lessee of such property is granted exemption from tax under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), provided however, that the tangible personal property is not later leased for a nonexempt use or leased to a nonexempt person or converted to a nonexempt use by any person. If property is so leased or converted, the tax shall be due pursuant to the provisions of the "Sales and Use Tax Act."

(cf: P.L.1989, c.123, s.6)

 

    5. Section 11 of P.L.1966, c.30 (C.54:32B-11) is amended to read as follows:

    11. The following uses of property shall not be subject to the compensating use tax imposed under this act:

    (1) In respect to the use of property used by the purchaser in this Stateprior to July 1, 1966.

    (2) In respect to the use of property purchased by the user while a nonresident of this State, except in the case of tangible personal property which the user, in the performance of a contract, incorporates into real property located in the State or except in the case of uses of tangible personal property purchased for lease. A person while engaged in any manner in carrying on in this State any employment, trade, business or profession, not entirely ininterstate or foreign commerce, shall not be deemed a nonresident with respect to the use in this State of property in such employment, trade, business or profession.

    (3) In respect to the use of property or services upon the sale of which the purchaser would be expressly exempt from the taxes imposed under subsection(a) or (b) of section 3.

    (4) In respect to the use of property which is converted into or becomes a component part of a product produced for sale or for market sampling by the purchaser.

    (5) In respect to the use of paper in the application of newspapers and periodicals.

    (6) In respect to the use of property or services to the extent that a retail sales or use tax was legally due and paid thereon, without any right to a refund or credit thereof, to any other State or jurisdiction within any other State but only when it is shown that such other State or jurisdiction allows a corresponding exemption with respect to the sale or use of tangible personal property or services upon which such a sales tax or compensating use tax was paid to this State. To the extent that the tax imposed by this act is at a higher rate than the rate of tax in the first taxing jurisdiction, this exemption shall be inapplicable and the tax imposed by section 6 of this act shall apply to the extent of the difference in such rates.

(cf: P.L.1989, c.123, s.5)

 

    6. Section 16 of P.L.1966, c.30 (C.54:32B-16) is amended to read as follows:

    16. Every person required to collect any tax imposed by this act shall keep records of every purchase, [purchase for] lease of property purchased for lease, sale or amusement charge or occupancy and of all amounts paid, charged or due thereon and of the tax payable thereon, in such form as the director may by regulation require. Such records shall include a true copy of each sales slip, invoice, receipt, statement or memorandum upon which subsection (a) of section 12 requires that the tax be stated separately. Such records shall be available for inspection and examination at any time upon demand by the director or his duly authorized agent or employee and shall be preserved for a period of three years, except that the director may consent to their destruction within that period or may require that they be kept longer.

(cf: P.L.1989, c.123, s.9)

 

    7. (New section) a. Notwithstanding the provisions of subsection bb. of section 2 of P.L.1966, c.30 (C.54:32B-2), a lessor may select the amount of the sales price as defined in paragraph (3) of subsection bb. of leased tangible personal property purchased for lease only for a lease agreement completed or renewed:

    (1) On or after July 1, 1996 if the total of the lease payments attributable to the lease of the property during the term of the lease agreement is $50,000 or less; and

    (2) On or after July 1, 1997, but before July 1, 1998 if the total of the lease payments attributable to the lease of the property during the term of the lease agreement is $250,000 or less.

 

    8. This act shall take effect immediately, but remain inoperative until July 1, 1996 and apply to lease agreements completed or renewed on or after the operative date.

 

 

STATEMENT

 

    This bill provides a third option that a lessor of tangible personal/property who purchased the property for lease may elect to calculate the sales or compensating use tax due on the lease of the property. The option would permit a lessor to pay the tax at the time each lease payment is received from the lessee; the tax will be calculated on each lease payment as received by the lessor. Currently, a lessor who buys property to lease must pay the sales tax on the basis of either the purchase price of the property or on the total of the lease payments attributable to a lease agreement.

    Under the bill, the lessor will still be considered the user of the property and the payer of the sales or compensating use tax. A lessor of a motor vehicle, or boat or other vessel, is excluded from this new payment option.

    This bill, if enacted, will become effective on July 1, 1996, but the new tax payment option will be phased in over a period of time to lessen the bill's impact on State revenues in fiscal years 1997 and 1998.

 

 

 

Provides alternate payment method for sales and use tax on tangible personal property purchased for lease.