N.J. Admin. Code § 18:24-8.1

Current through Register Vol. 56, No. 24, December 18, 2024

Section 18:24-8.1 - General statutory exemption to qualified organizations

(a)N.J.S.A. 54:32B-9(b) provides for exemption from sales and use taxes on any sale or amusement charge by or to, and any use or occupancy by certain nonprofit organizations described in N.J.S.A. 54:32B-9(b), where such sales, charges, uses, or occupancies are directly related to the purposes for which qualified organizations have been organized.

(b) Specifically, organizational exemption is afforded to any corporation, association, trust, or community chest, fund, or foundation organized and operated exclusively:

1. For religious, charitable, scientific, testing for public safety, literary, or educational purposes;

2. For the prevention of cruelty to children or animals;

3. As a volunteer fire company, rescue, ambulance, first aid, or emergency company or squad;

4. As a National Guard organization, post, or association, or as a post or organization of war veterans, or the Marine Corps League, or as an auxiliary unit or society of any such post, organization, or association; or

5. As an association of parents and teachers of an elementary or secondary public or private school.

(c) Organizational exemption in accordance with (b)1-5 above, is permitted, provided that no part of the net earnings inures to the benefit of any private shareholder or individual; no substantial part of the activities is carrying on propaganda, or otherwise attempting to influence legislation; and the organization does not participate in, or intervene in (including the publishing or distributing of statements) any political campaign on behalf of any candidate for public office.

(d) Organizations seeking to qualify for exempt organization status must meet the eligibility requirements set forth in this subchapter and comply with all procedural requirements contained in this subchapter, in addition to the requirements in (a)-(c) above.

N.J. Admin. Code § 18:24-8.1

Amended by 48 N.J.R. 824(a), effective 5/16/2016