Senate Approves Cruz-Perez And Singleton Bill To Provide Financial Assistance To Wineries And Vineyards

TRENTON – Legislation sponsored by Senator Nilsa Cruz-Perez and Senator Troy Singleton that would provide financial assistance to wineries and vineyards in New Jersey was approved by the Senate on Monday.

“New Jersey wine is rapidly making a name for itself around the country,” said Senator Cruz-Perez (D-Camden/Gloucester). “Demand for it is increasing, so we need to assist wineries and vineyards to keep up with that high demand and help these businesses flourish.”

The bill, S-1082, provides tax credits to vineyards and wineries for qualified capital expenses.  Each taxpayer or individual vineyard or winery paying corporation business tax would be allowed 25% of qualified expenses of tax credits up to a total of $250,000 may be used against gross income and corporation tax liability to be taken over a 10-year period.

A qualified capital expense is any expenditure made by the taxpayer for the purchase and installation of equipment or agricultural materials for the use in the production of agricultural products at a vineyard or in a winery, as specified in regulations.

“The state has some of the best wineries and vineyards in the country, and this bill will help to expand their operations,” said Senator Singleton (D-Burlington).  “This package is a meaningful way to help to cultivate and grow local businesses.”

New Jersey has been expanding its production of wine-making for the past few decades.  According to the state Department of Agriculture, more than 40 varieties of grapes are grown in New Jersey.  New Jersey is the seventh largest wine producing state in the country, with 1.5 million gallons of wine produced annually.  There are more than 45 licensed wineries in New Jersey.

The bill was approved by the Senate by a vote of 38-0, and will next head to the Assembly for further consideration.

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