Sponsored by:
Assemblyman ANTHONY S. VERRELLI
District 15 (Hunterdon and Mercer)
SYNOPSIS
Permits alcoholic beverage licensee to make late filing of sale and use tax return and remittance without penalty if full amount of tax due is remitted within 30 days of statutory due date.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the remittance of sales and use tax by alcoholic beverage licensees and supplementing P.L.1966, c.30.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. The holder of a retail license or permit, wholesale license, or manufacturer’s license issued pursuant to Title 33 of the Revised Statutes that is required to collect and remit the tax and file a return under the “Sales and Use Tax Act,” P.L.1966, c.30 (C.54:32B-1 et seq.) shall be allowed to submit those returns and remittances, without the assessment of penalties or interest, not later than the 30th day following the date required for the remittance of taxes and filing of returns pursuant to sections 17 and 18 of P.L.1966, c.30 (C.54:32B-17 and C.54:32B-18), provided that the person remits to the director the full amount of taxes due pursuant to section 18 of P.L.1966. c.30 (C.54:32B-18) at the time the return is filed.
2. This act shall take effect immediately and apply to returns and remittances due on the 20th day of the second month next following enactment, and in each month thereafter.
STATEMENT
This bill provides alcoholic beverage licensees with an additional 30 days to file a return or remit sales and use tax collections, without the assessment of penalties or interest, so long as the licensee pays the full amount of sales and use tax due when the return is filed. Penalties and interest will be assessed if the licensee does not pay the full amount of tax due.
Current law requires sales and use tax returns to be filed on the 20th day of the month after the end of the filing period and for taxes to be remitted at the time of filing the return. According to the Department of the Treasury, the late filing penalty is five percent of the tax due for each month (or part of a month) a return is late. The maximum penalty for late filing is 25 percent of the balance due. The Division of Taxation may also charge a penalty of $100 for each month a return is late.