This bill establishes a 50 percent sales and use tax exemption for retail businesses located in municipalities affected by ongoing public highway projects. To qualify for this exemption, sellers must operate a retail business establishment within an impacted municipality and receive approval from the Director of the Division of Taxation. Sellers are required to submit an application to verify their eligibility, and the exemption applies during a defined "relief period," which spans from the commencement to the completion of the public highway project.

The bill outlines the responsibilities of the Commissioner of Transportation, who must provide written notice to the director regarding the commencement or completion of public highway projects. This notice is essential for the director to inform sellers about the status of their tax exemptions. The bill also includes definitions for key terms such as "retail business establishment," "impacted municipality," and "public highway project," ensuring clarity in its implementation. The provisions of the bill will take effect immediately upon passage.