Official Site of The State of New Jersey

Director's Tax Credit Purchase Program

Eligible Tax Credit Programs

Fees

A taxpayer must include a one-time, non-refundable application fee to offset the Division’s costs for processing the application. The amount of the fee shall be based on the value of the eligible program tax credit to be purchased as follows:

• For a tax credit certificate up to $500,000, a $1,000 application fee;
• For a tax credit certificate over $500,000, and up to $1,000,000, a $2,500 application fee; and
• For a tax credit certificate over $1,000,000, a $5,000 application fee.

Additional Fees

A taxpayer shall pay the Director a non-refundable fee of $1,000 for each request for any administrative change, amendment, addition, or modification to the application. If the Director deems the change, addition, amendment, or modification to be major, defined as requiring a comprehensive duplicate review of an application, the Director may either reject the application or impose a non-refundable fee of $2,500.

If a taxpayer’s application is accepted, and the Division approves the purchase of the eligible program tax credit, a taxpayer shall be responsible for a non-refundable fee of $2,500, which shall be deducted from any amount issued by the Division for any tax credit purchased by the Division.

Purchase Rates

All tax credits, with the exception of Emerge Program Act and New Jersey Community-Anchored Development Act, are eligible for purchase at the following rates:

• An eligible program tax credit presented more than three years before its expiration shall be eligible for purchase at a value not to exceed 20% of the value of the credit;
• An eligible program tax credit presented more than two years before its expiration, but less than three years before its expiration, shall be eligible for purchase at a value not to exceed 40% of the value of the credit;
• An eligible program tax credit presented more than one year before its expiration, but less than two years before its expiration, shall be eligible for purchase at a value not to exceed 60% of the value of the credit; and
• An eligible program tax credit presented less than one year before its expiration, but at least 90 days before its expiration, shall be eligible for purchase at a value not to exceed 75% of the value of the credit.

The Emerge Program Act and the New Jersey Community-Anchored Development Program that are presented for purchase shall not be presented less than two years after issuance and shall be reimbursed at 90% of the value of the credit.

Director's Purchase of Tax Credits Application

Additional Information

For additional information and applications, call The Grant and Credit Review Unit:

Phone: 609-292-7127