N.J.A.C. 18:24-7.21 - Exemption for Limousines

(a) A "limousine" is a motor vehicle that satisfies the following criteria:

1. Is registered pursuant to N.J.S.A. 39:3-19.5 or registered as a limousine under the laws of another state or of the United States;

2. Is used exclusively in the business of carrying passengers for hire to provide prearranged passenger transportation at a premium fare on a nonscheduled basis, that is not conducted on a regular route;

3. Has a seating capacity not exceeding 14 passengers;

4. Has a seating capacity (including driver) that is not more than five persons in excess of the seating capacity at the time of manufacture; and

5. Does not include taxicabs, hotel shuttles or buses, airport shuttles or buses, buses employed solely in transporting schoolchildren or teachers to and from school, or vehicles owned and operated by a business for its own purposes without either charge to passengers or remuneration to the business.

(b) Receipts from the sale of a limousine to a person licensed under N.J.S.A. 48:16-17 to operate a limousine service are exempt from sales and use tax.

(c) Receipts from the sale of repair services, repair parts, or replacement parts for a limousine, operated by a person licensed under the laws of New Jersey, or of another state, or of the United States to operate a limousine service, are exempt from sales and use tax.

(d) The seller must obtain a fully completed Exempt Use Certificate (Form ST-4) or other approved form from the purchaser to document why sales tax has not been collected on exempt purchases of limousines, repair services, or repair parts and replacement parts.