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Bulletin: NJ2011003
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Bulletin: NJ2011003
Dear Associates:
This bulletin serves to update NJ2010003 covering bulk sale reporting requirements.
On September 14, 2011, Governor Christie signed A2748 into law which modifies N.J.S.A. 54:50-38. Under the modified statute the sale of one or two family homes, condominium units or cooperative apartments will not be subject to the NJ Bulk Sale reporting requirements if the seller meets certain requirements. This exemption includes "seasonal rental properties" defined as property rented for less than 125 consecutive days for residential purposes by a person having a permanent place of residence other than the rental property. The new law is retroactive to August 1, 2007, resulting in qualifying sales from that date forward not being subject to bulk sale reporting requirements.
The Seller must be an individual, estate, or trust to enjoy the exemption. Other business entities including LLC's remain subject to bulk sale reporting requirements. In addition, if the structure contains more than two units or includes commercial space, the exemption does not apply.
Bulk Sale reporting requirements with respect to all other commercial properties remain the same. Transaction specific questions should be directed to the Bulk Sale Section of the NJ Division of Taxation at (609) 292-6604.
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References
- Bulletins Replaced:
- None
- Related Bulletins:
- Underwriting Manual:
- None
- Exceptions Manual:
- None
- Forms:
- None