Urban Enterprise Zone
500 Pemberton-Browns Mills Rd.
Pemberton, NJ 08068
The Department of Community Development provides prospective and certified zone businesses with a full range of services, including assistance with processing applications for designations and annual re-certifications. Any business interested in become a member of the Pemberton Township Urban Enterprise Zone should contact the Department of Community Development.
Pemberton Township was designated as an Urban Enterprise Zone in May 23, 1996. The designation prompted by the New Jersey Urban Enterprise Act of 1983 authorized the provision of tax incentives and other benefits to businesses targeted in distressed urban areas throughout the State of New Jersey. The intended impact of the Urban Enterprise Zone legislation was the revitalization of the State's distressed urban communities through the creation of private sector jobs and investment in targeted urban areas.
In Pemberton Township, since the Urban Enterprise Zone's inception, 184 private sector employers have participated in the program and investing $29,243,948 in the participating businesses.
The Pemberton Township Urban Enterprise Zone Program is administered under the auspices of the Department of Community Development, and can be reach at 609.894.3306. At the State level, the Urban Enterprise Zone is administered by the Department of Community Affairs, Urban Enterprise Zone Program. More information can be found by clicking here.
Business Benefits of Locating Within the Enterprise Zone
SALES AND USE TAX EXEMPTIONS
Participating Urban Enterprise Businesses are exempt from paying the state sales tax on certain products and services. After being approved by the state Urban Enterprise Zone Office, the business receives a combined Urban Enterprise Exempt Purchase Permit and Exempt Qualifying Business Permit directly from the New Jersey Division of Taxation. The business also receives a Contractor's Exempt Purchase Certificate. These certificates must be presented when tax-exempt purchases are made. Each year the business receives updated permits and certificates after it re-certifies into the program.
REDUCED SALES TAX
Participating retailers are eligible to charge a reduced sales tax (3.125% rather than 6.625%) on merchandise. Before any retail business can collect the reduced sales tax, it must complete a New Jersey Division of Taxation UZ-1 form. The Division of Taxation will send the business a Sales Tax Certificate of Authority for reduced sales collections.
EMPLOYEE TAX CREDIT
Participating businesses that are not warehousing or retail-sales oriented, may be eligible for the Employee Tax Credit. It is available to corporations subject to the Corporate Business Tax which hire certain new employees at the zone location after they have been certified into the program. The corporation may claim either a $1,500 or $500 credit for each new employee, provided certain employment criteria are met.
UNEMPLOYMENT INSURANCE AWARD
Participating businesses that hire new employees meeting one or more of the following criteria, and who also have a positive unemployment insurance rate, are eligible to apply for an Unemployment Insurance Award. The employees must earn less than $4,500 per quarter. Every March, the Department of Labor will send an application to all businesses that report hiring employees meeting the necessary criteria.
EMPLOYEE CRITERIA FOR BOTH THE TAX CREDIT AND UNEMPLOYMENT INSURANCE AWARD:
- The employee is a resident of the New Jersey municipality in which any urban enterprise zone is located.
- The employee is a New Jersey resident who has been unemployed or received New Jersey public assistance six months prior to being hired.
- The employee is economically disadvantaged according to the Federal Job Training Partnership Act (JPTA).
For a business to qualify for the Enterprise Zone benefits, it must register with the New Jersey Division of Taxation, Secondly, your business must be physically and permanently located within the Pemberton Township Enterprise Zone. Businesses that existed in the zone before May 23, 1996, the time of designation, can qualify if they can demonstrate an ability to increase employment in the municipality. Businesses locating in the Zone after designation are qualified if 25% of their full-time new employees meet one or more the characteristics referenced above. To get certified you must register with NJ Premier Business Services (PBS) and follow these four steps:
- Create/Access your NJ Premier Business Services (PBS Account) (step-by-step instructions).
- Add your business to your PBS account
- Click on the Urban Enterprise Zone link under a Select a Service Center in PBS
- Complete and submit the UEZ Certification Application
Businesses engaged primarily in catalogue or mail order sales cannot qualify.