ASSEMBLY, No. 1216

 

STATE OF NEW JERSEY

 

Introduced Pending Technical Review by Legislative Counsel

 

PRE-FILED FOR INTRODUCTION IN THE 1996 SESSION

 

 

By Assemblyman AUGUSTINE

 

 

An Act providing a refundable credit under the gross income tax for sales taxes paid on feed for guide dogs, supplementing Title 54A of the New Jersey Statutes.

 

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

 

    1. A taxpayer shall be allowed a credit against the New Jersey gross income tax imposed pursuant to N.J.S.54A:2-1 in an amount equal to the taxes paid by the taxpayer under P.L.1966, c.30 (C.54:32B-1 et seq.), on feed for a guide dog used to assist the taxpayer or a dependent of the taxpayer. For the purposes of this section "guide dog" means a dog used to assist the visually impaired and commonly known as a "seeing-eye" dog, a dog used to assist handicapped persons and commonly known as a "service dog" or a dog used to assist hearing impaired persons and commonly known as a "hearing ear" dog.

    If the amount of credit granted by this section would reduce the liability of the taxpayer below zero, the amount by which the credit reduces taxable income below zero shall be considered an overpayment of tax refundable pursuant to N.J.S.54A:9-7.

 

    2. This act shall take effect immediately and apply to taxable years beginning after enactment.

 

 

STATEMENT

 

    This bill provides a practical method of allowing persons who require the assistance of guide dogs to receive a refund for sales taxes paid on food for their special dogs. Seeing-eye dogs assisting the visually impaired, service dogs assisting the handicapped and hearing ear dogs assisting the hearing impaired all perform necessary medical services. This bill will allow those responsible for the care of such dogs to make a single filing annually to receive reimbursement for sales taxes paid when purchasing feed for guide dogs. The Division of Taxation already reviews medical records for the purpose of verifying the additional personal deduction for the disabled and visually impaired and for verifying the deduction for medical expenses, and this system of providing a single annual reimbursement will be more efficient to administer than a sales and use tax exemption.

 

 

 

Provides a refundable gross income tax credit in the amount of sales taxes paid on feed for guide dogs.