Just a reminder that on June 28, 2024, Governor Murphy approved a law (P.L. 2024, c.19) that phases out the sales and use tax exemption for zero emission vehicles (ZEVs).
Starting October 1, 2024, all sales of ZEVs will be subject to sales and use tax of 3.3125%.
After July 1, 2025, all sales of ZEVs will be subject to the full sales and use tax amount of 6.625%.
A copy of the law can be found HERE.
You can access the New Jersey Division of Taxation ZEV Exemption webpage HERE.
The exemption for the Tire Tax will also disappear on October 1, 2024. As dealers are aware, there was no Tire Tax on the sale of a ZEV because of the sales and use tax exemption.
If you have any questions on anything discussed above, please contact Greyson Hannigan, NJ CAR Director of Legal & Regulatory Affairs, at [email protected] or (609) 883-5056 – x340.