This bill amends existing legislation to enhance the Urban Enterprise Zone (UEZ) program by providing a 50 percent sales and use tax exemption for qualified businesses conducting transactions via telephone, mail order, or internet, as long as they maintain a physical location within the UEZ. It allows these businesses to file quarterly tax returns, which must be submitted by the 20th day following the end of each quarter, thereby streamlining the tax reporting process. The definition of a "qualified business" is expanded to include those employing at least 25 percent of their workforce from eligible block groups, with updated criteria for low-income individuals referencing the Workforce Innovation and Opportunity Act.

Additionally, the bill increases the allowable administrative expenses for municipalities from 10 percent to 15 percent of the funds credited to their enterprise zone assistance fund, providing greater flexibility for resource management. It establishes an enterprise zone assistance fund to support the program, detailing fund allocation over the next ten fiscal years, and mandates that $2,500,000 be appropriated annually for the administration of the UEZ program, with adjustments based on the Consumer Price Index. The State Treasurer is designated to manage this fund, ensuring it supports economic development in designated enterprise zones.

Statutes affected:
Introduced: 52:27H-62, 52:27H-88