Our NYC CPA firm provides updates on an ongoing basis to ensure that our clients have the latest information on tax reforms in New York and New Jersey. Various rules regarding New Jersey sales and use taxation of motor vehicles have been amended to clarify existing law. Specifically, the amendments do the following:

  • Clarify that motor vehicle dealers are required to separately state sales tax on any sales slip, invoice, receipt, or other statement of the price that is provided to the customer in connection with the sale;
  • Clarify that dealer charges for documentary service fees are included in the sales price when calculating sales tax due on the motor vehicle. Documentary fees include services such as clerical services, messenger services, computer time, paperwork preparation charges, which are for the preparation and processing of title and registration documents, financing documents, etc. However, separately stated charges for the actual costs of title and registration fees imposed by the New Jersey Motor Vehicle Commission are not subject to tax; and
  • Remove/update obsolete references and other technical changes.

If you have any questions about New York or New Jersey sales and use tax please contact our lower Manhattan CPA office.