New Jersey Has a New Sales Tax This Year: What You Need to Know
TRENTON — Shoppers at stores across New Jersey will see less of their purchase amounts headed to Trenton starting this week after the next step in the sales decrease went into effect yesterday.
Effective as of Jan. 1, the sales tax in New Jersey dropped from 6.875 to 6.625 percent as a result of an agreement reached last year as part of the gas tax being signed into law.
The sales tax was dropped from 7 percent. It marked the first time the sales tax was changed since 2006, according to the state Division of Taxation.
In addition to the sales tax being lowered, the rate will also be lowered in Urban Enterprise Zones. Until this month, the rate in these areas had been 3.4375 percent. It has now been dropped to 50 percent of the overall sales tax, or 3.3125 percent.
With the new rates being implemented across the state, the Division of Taxation is encouraging businesses to ensure they update their point-of-sale systems to ensure they are using the right rate.
Customers are also encouraged to check their receipts to ensure they were properly charged the new lower rate.
The Division of Taxation has more information on the sales tax change here.