Legislation sponsored by Senator Tom Kean (R-Union) that exempts sales of certain homes and seasonal rentals from the bulk sale notification requirements was signed into law today.
The bulk sales notification process was established in 2007 to ensure the State was able to collect outstanding tax liability from businesses before they left the State or disposed of a large portion of assets. Because of the manner in which the law was written, the sale of single family homes from individual sellers was made subject to the requirements, resulting in home purchasers having to file paperwork and provide ten days notice to the Division of Taxation for every real estate transaction, or else risk being held liable by the State for the seller’s delinquent taxes.
Under Kean’s bill, the sale by individual sellers of any dwelling unit, primarily one- and two- family homes, will no longer be subject to the bulk sales notification requirements and will help ensure real estate transactions are not unnecessarily delayed and made more costly for buyers and sellers.
The new law is meant to boost New Jersey’s real estate market and cut red tape in order to ease the individual sale of homes and seasonal rentals.