Governor Signs Two NJECPAC Supported Legislative Bills Into Law

Governor Christie Signs NJECPAC Supported Legislation

NJECPAC is happy to report that Governor Chris Christie has signed two NJECPAC Supported Bills into law providing long needed tax relief to small businesses in New Jersey.

The enactment of these two new laws sends a welcome signal to businesses across New Jersey that the Governor and Legislature can work together to enact small business tax relief. The Legislation signed into law are:

S-2753 (Whelan, Madden)/A-3869 (Greenwald, Milam), which enacts single-sales-factor tax reform, which ends a tax disadvantage for New Jersey companies that sell their products and services here, but also have in-state employment and property. Previously, a New Jersey company with employees and property here paid more in taxes than an out-of-state company that had the same level of in-state sales, but little employment or property here. 

S-2754 (Buono, Greenstein)/A-3870 (Greenwald, Barnes), which permits businesses such as LLCs, partnerships, S corporations and sole proprietorships to deduct losses in one year from income in future profitable years. These companies pay gross income taxes, and this type of loss carry-forward was only available to companies paying corporate business taxes. In addition, the measure would allow these businesses to offset a gain in one income category from a loss in another income category. For instance, a company could offset gains in an LLC from losses in a partnership. Under current law, losses can only be used to offset income generated from the same business unit.

Join NJECPAC on Twitter,  Facebook, YouTube, LinkedIn

Explore More at NJECPAC

New Jersey May Scrap Overtime Rules for Exempt Employees

On April 15, The State held a public hearing in Trenton on a Proposed Amendment to N.J.A.C. 12:56-6.1. The law concerns overtime exemptions for certain classifications of employees such as Administrative, Executive, Outside Sales Positions etc.

The New Jersey Department of Labor is proposing repeal of the States existing overtime regulations concerning these exemptions. The plan is to replace the existing Regulations with the Federal Regulations concerning overtime pay.

Find More Department of Labor Laws and Regulations Here

Join NJECPAC on Twitter,  Facebook, YouTube, LinkedIn

Explore More at NJECPAC

W-2 Reporting Requirement in Health Care Law

The Internal Revenue Service (IRS) March 29 issued interim guidance on a provision in the Patient Protection and Affordable Care Act that will require employers to report the cost of coverage under an employer-sponsored group health plan on each employee’s W-2 form. The reporting becomes mandatory in 2012 and will have to be included on 2012 W-2 forms. 

The Guidance covers how to report the information, what coverage to include and how to determine the cost of the coverage. The IRS stressed that the reporting to employees is to inform them of the cost of their health coverage and the amounts reportable are not taxable.

Join NJECPAC on Twitter,  Facebook, YouTube

Explore More at NJECPAC

NJECPAC Supported Legislation Becomes Law

Governor Signs Oroho Bill Reforming Government Regulations Into Law

Legislation sponsored by Senator Steve Oroho (R-Sussex, Morris, Hunterdon) that would simplify and stabilize the rulemaking processes for state agencies was signed into law by Governor Christie. The Measure Was Originally Recomended by the Governor’s Red Tape Review Group

A-2721/S-2013 extends the expiration date of state regulations to seven years from five and establishes a new procedure for the re-adoption of rules without substantive changes.

“The five-year sunset provision is an unnecessarily burdensome requirement for well-established rules, ” stated Oroho. “Under this requirement, agencies must undertake the full rule-making process for established rules, regardless of whether any issues have arisen or been identified with the current regulatory scheme. Read More

Join NJECPAC on Twitter,  Facebook,  YouTube

Explore More at NJECPAC