Operations

N.J. Limo Companies Want Sales Tax Rescinded

LCT Staff
Posted on August 16, 2006

TRENTON, N.J. — The state of New Jersey is hoping that its new sales tax on limousine rides will generate $30 million annually in revenue. However, it is more likely that the state will end up with about $9 million a year when all is said and done, according to Barry Lefkowitz, Executive Director of the Limousine Associations of New Jersey (LANJ).

Operators do not have to pay sales tax on interstate jobs, funeral work, point-to-point trips in other states, government work or affiliate jobs – which add up to a large portion of the industry’s annual revenue. Separating these jobs from taxable ones, Lefkowitz says, will also create an expensive auditing nightmare for the state, further reducing the net revenue it gets from the limousine industry.

Lefkowitz is seeking the support of legislators in the hopes of getting the tax rescinded before the legislation goes into effect on Oct. 1, 2006. LANJ started a Legal Defense Fund at its July meeting to fight for the repeal of the tax and immediately raised thousands in donations. The organization is seeking more donations.

Source: Black Car News

LCT Staff LCT Staff
Comments ( 0 )
More Stories
Article

How To Get Clients To See Value In Your Rates

NOV. LCT: We fear our own prices when comparing ourselves to TNCs, but we don’t compete with them any more than Marriott does with a Motel 6. Learn how to justify your rates without guilt.

News

2018's Luxury Travel Trends

Among the highlights for next year is a focus on far-flung destinations along with international trips of two weeks or more.

Article

The Art Of Sales

NOV. LCT: In the battle to obtain new clients and retain loyal ones, only those who know the best ways to reach, connect with, and educate them will survive.

Article

How To Handle Conflicts Of Interest

NOV. LCT: Forming relationships with your customers is a vital part of retaining them. But how do you ensure you and your employees never cross the line of professionalism?