New Jersey Administrative Code › Title 18 - TREASURY - TAXATION › Chapter 24 - SALES AND USE TAX ACT › Subchapter 1 - FORMS AND DEFINITIONS › Section 18:24-1.2 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms, when used in this chapter, shall
				  have the following meanings, unless the context clearly indicates otherwise:
"Agreement" means the Streamlined Sales and Use Tax
				  Agreement.
"Certified service provider" means an agent certified under the
				  Agreement to perform all the seller's sales and use tax functions, other than the
				  seller's obligation to remit tax on its own purchases.
"Director" means the Director of the Division of Taxation of the
				  State Department of the Treasury, or any officer, employee, or agency of the
				  Division of Taxation in the Department of the Treasury duly authorized by the
				  Director (directly, or indirectly by one or more redelegations of authority) to
				  perform the functions mentioned or described in the Sales and Use Tax Act.
"Magazine" or "periodical" means any publication that appears at
				  stated intervals at least four times per year, each issue of which contains news or
				  information of general interest to the public or to some particular organization or
				  group of persons. Each issue must bear a relationship to prior or subsequent issues
				  with respect to continuity of literary character or similarity of subject matter and
				  there must be some connection between the different issues of the series in the
				  nature of the articles appearing in them. Each issue must be sufficiently similar in
				  style and format to make it evident that it is one of a series. The publication must
				  qualify for the second class mailing rate or as a controlled circulation publication
				  under U.S. postal laws and regulations.
Magazine or periodical does not include books complete in
				  themselves, even those issued at stated intervals; paperback books, a new one of
				  which may be issued once a month or some other interval; or so-called "one-shot"
				  magazines that have no literary or subject matter connection or continuity between
				  prior or subsequent issues. Magazine or periodical does not include circulars,
				  flyers, guides or handbooks, catalogs, programs, scorecards, handbills, maps, real
				  estate brokers' listings, price or order books, printed sales messages, shopping
				  guides, or corporate reports issued to stockholders.
This definition does not include books complete in themselves,
				  even those issued at stated intervals; paperback books, a new one of which may be
				  issued once a month or some other interval; or so-called "one-shot" magazines that
				  have no literary or subject matter connection or continuity between prior or
				  subsequent issues. This definition does not include circulars, flyers, guides or
				  handbooks, catalogs, programs, scorecards, handbills, maps, real estate brokers'
				  listings, price or order books, printed sales messages, shopping guides or corporate
				  reports issued to stockholders.
"Newspaper" means those publications that are commonly understood
				  to be newspapers and which are printed and distributed periodically at daily,
				  weekly, or other short intervals for the dissemination of news of a general
				  character and of a general interest to the public. The main purpose of a newspaper
				  is to distribute news of current events (political, sports, entertainment, etc.). A
				  newspaper may also contain other material, such as articles on a variety of topics,
				  photographs, illustrations, legal notices, comic strips, cartoons, editorials, etc.
				  A newspaper is available for circulation among the public. Advertising is not
				  considered to be news of a general character and of a general interest.
Newspaper does not include books complete in themselves, even
				  those issued at stated intervals; paperback books, a new one of which may be issued
				  once a month or some other interval; or so-called "one-shot" magazines that have no
				  literary or subject matter connection or continuity between prior or subsequent
				  issues. Newspaper does not include circulars, flyers, guides or handbooks, catalogs,
				  programs, scorecards, handbills, maps, real estate brokers' listings, price or order
				  books, printed sales messages, shopping guides, or corporate reports issued to
				  stockholders.
"Person" means an individual, trust, partnership, limited
				  partnership, limited liability company, society, association, joint stock company,
				  corporation, public corporation or public authority, estate, receiver, trustee,
				  assignee, referee, fiduciary, and any other legal entity.
"Purchaser" means a person to whom a sale of tangible personal
				  property, specified digital product, or a sale of a service is made; or a person
				  liable for the payment of any amusement charge, hotel room occupancy charge, fees or
				  dues for access or use of the property or facilities of a fitness, athletic,
				  sporting, or shopping club or organization, charges for storage, or for parking or
				  garaging a motor vehicle.
"Receipt" means the amount of the sales price of any tangible
				  personal property, specified digital product, or service taxable under the Sales and
				  Use Tax Act. See also sales price below.
"Retail sale" means any sale, lease, or rental for any purpose,
				  other than for resale, sublease, or subrent. A sale is for "resale, sublease, or
				  subrent" if it is a sale:
1. For resale either as such or as converted into or as a
				  component part of a product produced for sale by the purchaser, including the
				  conversion of natural gas into another intermediate or end product, other than
				  electricity or thermal energy, produced for sale by the purchaser;
2. For use by that person in performing a service subject to tax
				  under 54:32B-3(b)  where the
				  property so sold becomes a physical component part of the property upon which the
				  services are performed or where the property so sold is later actually transferred
				  to the purchaser of the service in conjunction with the performance of the service
				  subject to tax;
3. Of telecommunications service to a telecommunications service
				  provider for use as a component part of telecommunications service provided to an
				  ultimate customer; or
4. To a person who receives by contract a product transferred
				  electronically for further commercial broadcast, rebroadcast, transmission,
				  retransmission, licensing, relicensing, distribution, redistribution, or exhibition
				  of the product, in whole or in part, to another person, other than rights to
				  redistribute based on statutory or common law doctrine, such as fair use.
The term retail sale includes: sales of tangible personal
				  property to all contractors, subcontractors, or repairmen of materials and supplies
				  for use by them in erecting structures for others, or building on, or otherwise
				  improving, altering, or repairing real property of others.
"Sale, selling, or purchase" means any transfer of title or
				  possession or both, including by exchange or barter, rental, lease, or license to
				  use or consume, conditional or otherwise, in any manner and by any means, for
				  consideration. It also includes the rendering of a taxable service for consideration
				  and any agreement for such transfers of title or possession, or for such rendering
				  of service, or for any other transactions that are taxable pursuant to N.J.S.A.
				  54:32B-3.
"Sales price" means the same as receipt. It is the measure
				  subject to sales tax and means the total amount of consideration, including cash,
				  credit, property, and services, for which personal property or services are sold,
				  leased, or rented, valued in money, whether received in money or otherwise, without
				  any deduction for any of the following:
1. The seller's cost of the property sold;
2. The cost of materials used, labor or service cost, interest,
				  losses, all costs of transportation to the seller, all taxes imposed on the seller,
				  and any other expense of the seller;
3. Charges by the seller for any services necessary to complete
				  the sale; and
4. Delivery charges.
5. Installation charges; and
6. The value of exempt personal property given to the purchaser
				  where taxable and exempt personal property have been bundled together and sold by
				  the seller as a single product or piece of merchandise.
"Sales price" does not include:
1. Discounts, including cash, term, or coupons that are not
				  reimbursed by a third party, that are allowed by a seller and taken by a purchaser
				  on a sale;
2. Interest, financing, and carrying charges from credit extended
				  on the sale of personal property or services, if the amount is separately stated on
				  the invoice, bill of sale, or similar document given to the purchaser;
3. Any taxes legally imposed directly on the consumer that are
				  separately stated on the invoice, bill of sale, or similar document given to the
				  purchaser;
4. The amount of the sales price for which food stamps have been
				  properly tendered in full or part payment pursuant to the Federal Food Stamp Act of
				  1977,
				  7 U.S.C. §§
										2011 et seq.; or
5. Credit for any trade-in of property of the same kind accepted
				  in part payment and intended for resale if the amount is separately stated on the
				  invoice, bill of sale, or similar document given to the purchaser.
Sales price includes consideration received by the seller from
				  third parties if:
1. The seller actually receives consideration from a party other
				  than the purchaser and the consideration is directly related to a price reduction or
				  discount on the sale;
2. The seller has an obligation to pass the price reduction or
				  discount through to the purchaser;
3. The amount of the consideration attributable to the sale is
				  fixed and determinable by the seller at the time of the sale of the item to the
				  purchaser; and
4. One of the following criteria is met:
i. The purchaser presents a coupon, certificate, or other
				  documentation to the seller to claim a price reduction or discount where the coupon,
				  certificate, or documentation is authorized, distributed, or granted by a third
				  party with the understanding that the third party will reimburse any seller to whom
				  the coupon, certificate, or documentation is presented;
ii. The purchaser identifies himself or herself to the seller as
				  a member of a group or organization entitled to a price reduction or discount;
				  provided, however, that a preferred customer card that is available to any patron
				  does not constitute membership in such a group; or
iii. The price reduction or discount is identified as a
				  third-party price reduction or discount on the invoice received by the purchaser or
				  on a coupon, certificate, or other documentation presented by the purchaser.
In the case of a bundled transaction that includes a
				  telecommunications service, an ancillary service, internet access, or an audio or
				  video programming service, if the price is attributable to products that are taxable
				  and products that are nontaxable, the portion of the price attributable to the
				  nontaxable products is subject to tax unless the provider can identify by reasonable
				  and verifiable standards, such portion from its books and records, that are kept in
				  the regular course of business, including non-tax purposes.
"Seller" means a person making sales, leases, or rentals of
				  tangible personal property, specified digital products, or services, the receipts
				  from which are subject to tax.
"Tangible personal property" means personal property that can be
				  seen, weighed, measured, felt, or touched, or that is perceptible in any other
				  manner to the senses. It includes electricity, water, gas, steam, and prewritten
				  computer software including prewritten computer software delivered
				  electronically.