This bill proposes a tax deduction for commercial farm operators who lease State-owned land and donate perishable food, prepared food, or eligible farm equipment to food banks or food pantries in New Jersey. Specifically, the deduction would equal 50 percent of the wholesale value of the donated food items or 50 percent of the value at point of sale for the donated equipment. The bill defines "wholesale value" as the average price of a donated item based on actual wholesale prices received by the farm operator during the month of donation.

To claim this deduction, commercial farm operators must obtain a written statement from the food bank or food pantry for each donation made during the lease year. This statement must include details such as the name and quantity of the donated items, as well as the value of the donations. Additionally, when making rental payments, operators are required to present copies of these statements to substantiate their claims for the deduction. The bill mandates that the Department of Agriculture will establish necessary rules and regulations for its implementation.