New Jersey § 52:27h-79

§ 52:27h-79.

a. Receipts from the first $100,000 of annual retail sales of materials, supplies, and services for the exclusive use of erecting

structures or buildings on, or improving, altering or repairing the real property

of a qualified business, or a contractor hired by the qualified business to make such

improvements, alterations, or repairs, are annually exempt from the taxes imposed under the “Sales and Use Tax Act,” P.L.1966, c. 30

( C.54:32B-1 et seq. ); provided, however, receipts from retail sales of materials, supplies, and services

for the exclusive use of erecting new structures or buildings on, or substantially

improving, altering or repairing the real property of a qualified business shall be

eligible for such tax exemption notwithstanding the limit imposed pursuant to this

subsection. b. As used in this section: “ Qualified business ” includes a person who is certified as a qualified business by the authority and

provided a UZ-4 certification by the authority. A person who is certified as a qualified business may apply to the authority for

a UZ-4 certification provided that the person owns or leases and regularly operates

a place of business located in an eligible block group, as defined in subsection a.

of section 12 of P.L.2021, c. 197 ( C.52:27H-99 ). The Department of the Treasury shall provide to a qualified business a certificate

evidencing its UZ-4 certification, which certificate shall indicate the location at

which the sales tax exemption provided for in this section is available. “ Substantially improving, altering, or repairing ” means any reconstruction, rehabilitation, addition, or other improvement to a structure,

of which the total cost equals to or exceeds 50 percent of the market value of the

structure before the start of construction of the improvement. The UEZ Authority may, from time to time, alter this definition through regulation

to respond to changing market conditions.