Reminder – In 2018 Sales Taxes in New Jersey: Reduced to 6.625%

Just a reminder about an important change in New Jersey sales tax computation. As of 2018, the tax has been reduced:

Last year (2017), the tax rate was 6.875%.   This year (2018) — it’s down to 6.625%.

For taxable sales on and after January 1, 2018, sellers must collect and remit Sales Tax at the rate of 6.625% except under specific circumstances provided for by law. Sales Tax is levied on:

  • Tangible personal property;
  • Specified digital products; and
  • Enumerated services.

The Division of Taxation has updated Sales Tax Collection Schedule (Form ST-75)  37 kb, which is effective January 1, 2018. Form ST-75 rounds the amount of taxes owed to the nearest full cent. All tax calculations should be rounded accordingly. (See, “How to Calculate the Sales Tax.”) The tax rate (6.625%) is not rounded when calculating taxes owed.

For additional information on this and other changes, please visit the official source of information on this topic, visit the State of NJ, Department of the Treasury, Division on Taxation.

Also remember that the IRS 2018 standard mileage rate has been increased to 54.5, up a penny from last year.

2018-01-05T10:39:23+00:00 January 5th, 2018|All|

The SBDC office is closed Friday, May 25th, and Monday, May 28th.