Another Nj Tax on the boating industry

[Chelsea-Sea]

Well here we go again. Several years back the boating industry got hammered with a luxury tax, which was shot down later on. Now every boat that uses Diesel fuel is subject to a .30 cent per gallon tax! There are exemptions but you have to fill out a document send it in and they will decide if you get a rebate. Just wondering how everyone feels now? They take away our ability to enjoy our favorite past time and now we have to pay more to use our boats, when does it stop?

[mahigold]

It is my understanding that Regular gas was increased 23 cents and diesel was increased only 8 cents (4 cents in jan and 4 cents in june) in the same legislation. All taxes suck but diesel owners came out better.

[Chelsea-Sea]

Well your partially correct. Fact is they are raised it 30 cents. Off road diesel is what is used in boats. Only the marine industry was assessed the tax and to top it off just a select few.

[Capt. Debbie]

You know commercial guys don't pay the fuel tax. Right?

[Dino]

How do you feel about Theft? :rolleyes: No need for debate here, you shouldn't be penalized for loving boats and the ocean. The greatest trick they play is they legislate that they can take your money in an official state way so we sit here and debate whether its ok or not. thats your .30 im sorry

[Chelsea-Sea]

The commercials and boats for hire do not pay! The problem here is who designates "boats for hire"? Just to clarify this tax is not on any other entity other than boats. It is not levied against any other entity that uses off road diesel, such as heavy equipment or I hate to say it home heating oil. What I don't understand is why everyone is not upset? We just keep taking it on the chin and say oh well! This is the same reason come September 5th we have no fluke season! Tea party time

[Gerry Zagorski]

Here is some additional information below.... If you are a fore hire you are exempt from PPGRT tax.... I would think based on the information below, you still pay it at the pump but you can file a form to get reimbursed." Proof of the exempt activity must be included with the form"


Should we be mad about this.... Hell yes!! Not because if you are not a for hire you're not exempt... Good for the for hires or commercials, they managed to get themselves exempt. We should be mad because it's just another state money grab that our greedy state politicians agreed to levy on us. Another privilege for living in a state with reckless spending habits where law makers and politicians do whatever they want without regard or consent from their constituents.. They don't represent our best interests, they represent theirs.

Point in case is the additional road tax that effects everyone in the state who drives a vehicle, not only "rich recreational boaters" ... No one wanted that. It was in the news, people wrote in, signed petitions but it still got passed.

TAXES ON FUEL SALES AT NEW JERSEY MARINAS
New Jersey levies two taxes on most sales of fuels used by motor vehicles – the Petroleum Products Gross Receipts Tax and the Motor Fuel Tax. When motor fuels are used in boats and other marine vessels, the following rules apply for the levying of these two taxes:

PETROLEUM PRODUCTS GROSS RECEIPTS TAX
Fuel used in the following types of boats is exempt from the Petroleum Products Gross Receipts Tax (PPGRT):
o Marine vessels engaged in interstate or foreign commerce*
o Motor boats or motor vessels used exclusively for or in the propagation, planting,
preservation, and gathering of oysters and clams in the tidal waters of New
Jersey;
o Motor boats or motor vessels used exclusively for commercial fishing;
o Motor boats or motor vessels, while being used for hire for fishing parties or being used for sightseeing or excursion parties; and
o Motor boats or motor vessels used exclusively for Sea Scout training by a duly chartered unit of the Boy Scouts of America;
*When used in marine vessels engaged in interstate or foreign commerce, all petroleum products are exempt from the PPGRT.

Obtaining PPGRT Refunds on Exempt Purchases When a Marina Has No Direct Pay Permit

Marinas must have a Direct Pay Permit to buy fuel without paying the Petroleum Products Gross Receipts Tax (PPGRT). If a marina does not have a Direct Pay Permit, it pays PPGRT when it buys gasoline or diesel fuel (dyed or undyed) and generally passes the expense on to customers. A
purchaser is entitled to a refund from the State for PPGRT paid to a marina on exempt fuel purchases. (See above for examples of exempt sales.) To obtain a refund, file Form PPT-20, Petroleum Products Gross Receipts Refund Application. (See PPT Forms)

Marinas With Direct Pay Permits Must Still Collect Tax on Non-Exempt Sales
Marinas with Direct Pay Permits still must collect the Petroleum Products Gross Receipts Tax (PPGRT) on non-exempt sales of gasoline and diesel fuel (dyed and undyed). Any tax collected by a marina must be remitted to the Division of Taxation. If a purchaser believes it was charged PPGRT on an exempt fuel sale, that purchaser can file for a refund using Form PPT-20. (See PPT Forms) Proof of the exempt activity must be included with the form.

MOTOR FUEL TAX
Marinas pay the Motor Fuel Tax when they buy fuel and then generally pass the costs onto their customers. They are not required to deduct the tax even if a sale qualifies for a tax exemption

[Capt. Debbie]

WHAT GERY SAID..... It's a filing for a legitimate business registered with the state paying business tax returns.

Not the gypsy crap some guy gets a 6 pack license and he's now a charter.

In fact the USCG is cracking down on these OUPV clowns. And rightly so.

All this aside. yes, we are gouged for more money. NJ is very very heavily taxed and people are leaving in masses at the first opportunity.

I think it would be hard to find a real and sane person who is moving from another state to NJ unless they had to.

YES. We get screwed in NJ.



The commercials and boats for hire do not pay! The problem here is who designates "boats for hire"? Just to clarify this tax is not on any other entity other than boats. It is not levied against any other entity that uses off road diesel, such as heavy equipment or I hate to say it home heating oil. What I don't understand is why everyone is not upset? We just keep taking it on the chin and say oh well! This is the same reason come September 5th we have no fluke season! Tea party time

[Chelsea-Sea]

Yes this is all correct but the for hire means anyone that shares expenses on a fishing trip is under the law for hire! That's the problem with this. Same goes for marinas that sell gas. Their prices include the road tax, when was the last time you drove your boat on the street? Its like you said it's just another money grab. We need an attorney to file a class action law suit. This tax is levied against one sector not across the board!

[Capt. Debbie]

It all sucks the life out of you financially. And yes they pass on all costs and a profit on to you the consumer.

Actually sharing expenses is not a person who holds himself out as a charter and takes money as a fee for his services. He's not a registered business with the State, collecting sales tax or with an commercial and compliant vessel with the USCG. The gypsy OUPV's are a blight on real charter guys who go through the trouble of being compliant.

Sharing gas expenses is not for hire even with an OUPV. There is neither representation as professional offering himself out for hire, nor fees taken for his services. It's a myth.

Logically... If you don't pay your buddy for gas, can he arrest you for theft of services? NO. And I am an attorney

[Chelsea-Sea]

Frank I respect your thoughts and understand exactly what your saying. Is this or is this not a tax on just one entity? If it is then is this not exactly like the former luxury tax? Why then is it permitted to happen? My support for what I'm say is clear, if off road diesel is being charged to the marine industry then why is it not being charged for everyone that use road machinery or farm equipment? Are taxes to be levied equally across the board? No has been trying for years to get money from the marine industry, maybe it's time to stop them! Your an attorney file a class action law suit hell I'll send money!

[Capt. Debbie]

You're dead on accurate on who this effects most. Hi end recreational boaters. Most diesels are privately owned. And A six pack license alone does not make you immune and get refund on all your purchased fuel.

Yes it hits and was likely aimed at exactly that population since majority of boaters are gasoline powered.

Luxury tax? If it quacks like a duck, walks like a duck, and look like a duck could it be called a gerbil? YOU ARE CORRECT. Just the victim field is smaller than you thought.



Frank I respect your thoughts and understand exactly what your saying. Is this or is this not a tax on just one entity? If it is then is this not exactly like the former luxury tax? Why then is it permitted to happen? My support for what I'm say is clear, if off road diesel is being charged to the marine industry then why is it not being charged for everyone that use road machinery or farm equipment? Are taxes to be levied equally across the board? No has been trying for years to get money from the marine industry, maybe it's time to stop them! Your an attorney file a class action law suit hell I'll send money!

[Chelsea-Sea]

So how do we beat it like the luxury tax was beaten? I know taxation is supposed to be even across the board, never is! How do we rally boat owners and fisherman. Most think price is going up because of Houston and Harvey. How do we educate the unknowing?

[Capt. Debbie]

Taxes are for government to make more spending money. Many, if not most times the tax money brought in has nothing to do with the workings of who is being taxed.

A better area to get after would be electric vehicles. We are taxed at pump for highway maintenance due to our usage. Electric vehicles are paying nothing, while they use as much as they would like free of any contribution.

Hybrids are even more complicated.

[Chelsea-Sea]

Sorry Frank but again not answering the question. Your an attorney can a suit be filed to try to stop this and why not you to lead the fight?

[Capt. Debbie]

You can legally sue anybody for anything. Many are frivolous.

Question- who is the identified class being discriminated against?
Q2- Are they an established "Protected class" that had been discriminated against that the court will review with "heightened scrutiny"?

There's your first two hurdles to even have a class certified, notwithstanding the merits of the case. The court must certify the class, and then certify representative individual cases as samples. Still notwithstanding the merits.

[Chelsea-Sea]

Your first answer is just the recreational boater! We were taxed unfairly as a group. We were the only group that was taxed!

[Capt. Debbie]

If you read the "legislative intent" that make it always creates an illusion why this tax was chosen. Some times they don't even call it a tax, its a use fee. ha ha.

I know it's not helping. But you are being attacked by people with legal weapons. Remember that pseudo criminal Corzine as governor put plans in place to double parkway tolls every few years? They bitched about it. He decided to quit and be something else again. But we still are stuck with it. No one repealed it.

They don't want to. STuff like this lead people to Trump who were sick of this crap. Now they are dumping their crap on Trump. Can't do a damn thing with the leeches WE have ELECTED in DC.

Another novel legal argument recently was the NYC subway fare increase discriminates against minorities who use it most. DE FACTO discrimination like we have here. That died too, albeit true it does.


Your first answer is just the recreational boater! We were taxed unfairly as a group. We were the only group that was taxed!

[Chelsea-Sea]

So I guess we should all just bend over and take it right up our a--!