Bayonne City Program Overview

The Urban Enterprise Zone Program was enacted by the New Jersey State Legislature in 1983 to help stimulate new economic activity and reduce unemployment within the boundaries of each zone.  The establishment of these zones helps provide incentives for businesses to come to these communities and occupy existing facilities or build new. Bayonne is one of the State’s newest Urban Enterprise Zones, and was first designated on September 12, 2002.  Since its inception, over 213 businesses have registered in the Bayonne Urban Enterprise Zone program.  The Urban Enterprise Zone is an area designated by the State UEZ Authority to revitalize critical shopping districts and industrial centers.  Our mission is to create jobs, bring new business prosperity, and raise the quality of life in our community. The staff of the Bayonne Urban Enterprise Zone is here to assist you.  We are looking to place our businesses and customers in a win-win situation.  If any businesses or customers have any questions please call Dee Dee Bottino or Patty Murray (201) 858-6357.
 

• Pay no state sales tax on building materials, services, and most tangible personal property.
• For each new permanent full time employee hired, businesses receive a one-time corporate tax credit of up to $1,500.
• The program allows a tax credit against the Corporate Business Tax of eight percent for investment inside the zone.
• Businesses may be eligible for priority financial assistance including low-interest loans from the New Jersey Local Development Financing fund and the Department of Labor Job Training Program.
• Sales tax revenue is placed in a Zone Assistance Fund (ZAF) and reinvested in improvement projects and further economic development.
• Qualified zone retailers are allowed to charge 3.5 percent sales tax on in person purchases-half of normal tax rate.

• Shop in a safe, secure environment.
• Hundreds of quality stores to choose from.
• Enjoy the reduced 3.5% sales tax at participating businesses.

Mission Statement

To promote business within the zone that generates new, permanent jobs for local residents by providing a secure and attractive environment throughout the zone; by providing access to loans for small businesses; by enhancing access to an appropriately trained and identified local labor pool; by encouraging the use of local businesses in the supply of goods and services amongst members of the zone; by promoting for the equal opportunity of minority groups to participate as owner/operators of businesses within the zone.

Frequently Asked Questions 

What is the Bayonne Urban Enterprise Zone Program?
Utilizing a two-sided approach, the UEZ fosters financial growth for the entire community.  Businesses can benefit from the various incentives funneled through the program, while citizens receive increased job opportunities, in addition to substantial savings when making retail purchases.

How can I apply in the Bayonne Urban Enterprise Zone?
Urban Enterprise Zone Certification Applications are available at City Hall of Bayonne at 630 Avenue C or please call 201-858-6357 and ask for either Dee Dee Bottino or Patty Murray

If I decide to join, what are the program benefits for my business?
-Sales tax exemption for tangible personal property
-Sales tax exemption for materials, supplies or services used to improve, alter or repair existing property
-Funding for facade improvement programs
-Corporation tax credits for hiring of full time employees
-Subsidized unemployment insurance costs for certain new employees
-Priority assistance with NJ Job Training Program

What is the reduced rate for collection of sales tax by vendors having a UZ-2 Certificate?
Fifty percent of the regular sales tax rate.

Is there an exemption for advertising material?
Yes, as long as the advertising material is used exclusively at the place of business in the zone.  This includes handbills, flyers, sales catalogs, etc., for distribution at the zone place of business, but does not include items used for mailing to customers in New Jersey.  Direct mail advertising and processing services are not exempt from any sales or use tax due.

Are businesses ever denied re-certification?
The answer is yes, if a qualified business is unable to maintain the number of employees it had when it met the employment tests required for qualification, the business no longer meets the Criteria for being a qualified business and the business loses its UEZ or UEZ impacted business district benefits.  The Local Coordinators in the zones will answer questions about re-qualifications.

If a contractor rents or leases a crane or other equipment for use on a qualified business construction job, is the rental or lease exempt from tax?
A rental or lease to qualified business for improving its premises is exempt, but rental or lease to a contractor is taxable.

A restaurant is a qualified business.  Is the reduced sales tax rate available for restaurant meals?
The reduced sales tax rate only applies to the sale of tangible personal property.  The sale of restaurant meals or prepared foods or beverages is not considered the sale of tangible personal property under the Sales and Use Tax Act.

Directory of Bayonne Urban Enterprise Zone Businesses 

Board Of Trustees