The Limousine Association of New Jersey (LANJ) is happy to report that a proposed return on sales tax for limousine services is dead in the water. Senator Paul Sarlo (D-Bergen) has confirmed that the proposed tax will not be taken up in legislature in 2020 or 2021.
In August, Governor Phil Murphy unveiled a new budget plan that included restoring sales tax on limousine service. This proposal was theorized to raise an estimated $13M over eight months.
LANJ President Jason Sharenow of Broadway Elite Worldwide was vehemently opposed to this tax increase, particularly with the luxury ground transportation being especially hard hit during the pandemic. The association had previously fought a long battle with the state to get sales tax removed from limousine service. In 2017, then-Governor Chris Christie signed a bill that eliminated sales tax on intra-state trips.
“This is a terrific win for the industry given the current business climate. Tax revenues would have been 10 percent of the state’s estimates and LANJ was able to make its case to the legislature through intense lobbying efforts,” says Sharenow. “We are grateful to have an excellent working relationship with many political and government parties in Trenton. Special thanks to Jay Erlich of Europe Limousine and Tim Rose of Dolphin Transportation. I could not do what I do without all of their help and support.”
Visit lanj.org for more information.