Beginning on January 1, 2018, New Jersey will be decreasing its Sales and Use Tax rates. The current sales tax rate is 6.875% but will be decreasing to 6.625%. The new tax rates are as follows:
- Atlantic City Luxury Tax is 12.625% but 9 percent of that is the Atlantic City Luxury Tax and the other 3.625 percent is New Jersey’s Sales and Use Tax
- The Boat and Other Vessels Sales Tax has been reduced by 50 percent to a new rate of 3.3125%
- The Cape May County Tourism Tax will be comprised of 6.625 percent for New Jersey Sales and Use Tax and an additional 2 percent Tourism Tax for Wildwood, Wildwood Crest, and North Wildwood
- The Salem County Sales Tax will be reduced by 50 percent to 3.3125 percent
- The Urban Enterprise Zone Sales Tax will also be reduced by 50 percent to 3.3125 percent
It is important for residents and businesses in New Jersey to maintain an awareness of changes to tax rates. These changes are part of a tax reduction plan that was broken down into two phases. The first tax reduction phase began on January 1, 2017 and it brought the tax rate from 7 percent down to 6.875 percent. If you have any questions regarding the changes to New Jersey’s tax policy, it is important to discuss them with an experienced certified public accountant.
Werdann Devito LLC is comprised of experienced certified public accountants and business consultants in Clark, New Jersey. Our services include business and personal tax matters, management advisory, business valuation, audits, reviews, and compilations. If you need a qualified CPA, contact Werdann Devito LLC today.