[Adopted 8-16-2021 by Ord. No. 2021-14]
The purpose of this article is to impose a tax on the sale of
cannabis or cannabis products by licensed commercial cannabis businesses
operating in the Township of Eastampton pursuant to the New Jersey
Cannabis Regulatory, Enforcement, Assistance and Marketplace Modernization
Act, to specify the type of tax and rate of tax to be levied and the
method of collection, and to comply with all requirements for the
imposition of a transfer or user tax pursuant to state law. This article
is enacted solely to raise revenue and not for regulation. This article
does not authorize the conduct of any business or activity in the
Township of Eastampton but provides for the taxation of such businesses
or activities as they occur.
As used in this article, the following terms shall have the
meanings indicated:
This term shall have the same meaning as provided under N.J.S.A.
24:6I-33.
A facility involved in the growing and cultivating of cannabis,
and which has been duly issued a Class 1 Cannabis Cultivator license
by the New Jersey Cannabis Regulatory Commission, or its successor
agency.
A facility involved in the manufacturing, preparation, and
packaging of cannabis items, and which has been duly issued a Class
2 Cannabis Manufacturer license by the New Jersey Cannabis Regulatory
Commission, or its successor agency.
Any person or entity that purchases or otherwise obtains
cannabis or cannabis items from cannabis cultivators, manufacturers
or wholesalers, and sells these to consumers from a retail store,
and/or may use a cannabis delivery service or a certified cannabis
handler for the off-premises delivery of cannabis items and related
supplies to consumers and which has been duly issued a Class 5 Cannabis
Retailer license by the New Jersey Cannabis Regulatory Commission,
or its successor agency.
A facility involved in obtaining and selling cannabis items
for later resale by other licensees, and which has been duly issued
a Class 3 Cannabis Wholesaler license by the New Jersey Cannabis Regulatory
Commission, or its successor agency.
The Township of Eastampton hereby imposes and shall collect
certain local option taxes on cannabis business activity as follows:
A.
A municipal transfer tax is hereby imposed on the receipts of each
sale by a licensed cannabis business operating in the Township of
Eastampton at the rate of 2% of the receipts from each sale by a cannabis
cultivator, 2% of the receipts from each sale by a cannabis manufacturer,
1% of the receipts from each sale by a cannabis wholesaler, and 2%
of the receipts from each sale by a cannabis retailer.
B.
A municipal user tax is hereby imposed, at the equivalent transfer
tax rates, on any concurrent license holder operating more than one
cannabis establishment. The user tax shall be imposed on the value
of each transfer or use of cannabis or cannabis items not otherwise
subject to the transfer tax imposed pursuant to this section, from
the license holder's establishment that is located in the municipality
to any of the other license holder's establishments, whether
located in the municipality or another municipality.
All revenues collected pursuant to this section shall be remitted
to the Chief Financial Officer of the Township of Eastampton in the
manner provided by this article. The taxes imposed by this section
shall be computed and paid for each calendar month. Said taxes are
due and payable to the Chief Financial Officer on or before the 20th
day of the succeeding month.
A.
The Chief Financial Officer is hereby authorized and empowered to
administer, regulate, and collect payment of all taxes imposed by
this article.
B.
The Chief Financial Officer may order an audit of any taxpayer under
this article for the purpose of ascertaining the correctness or completeness
of any return or payment.
A.
The payment of delinquent taxes or transfer fees imposed by this
article shall be enforced in the same manner as provided for delinquent
real property taxes.
B.
In the event that the transfer tax or user tax imposed by this article
is not paid as and when due by a cannabis establishment, the unpaid
balance, and any interest accruing thereon, shall be a lien on the
parcel of real property comprising the cannabis establishment's
premises in the same manner as all other unpaid municipal taxes, fees,
or other charges. The lien shall be superior and paramount to the
interest in the parcel of any owner, lessee, tenant, mortgagee, or
other person, except the lien of municipal taxes, and shall be on
a parity with and deemed equal to the municipal lien on the parcel
for unpaid property taxes due and owing in the same year.
C.
In the event that a lien is imposed on a delinquent taxpayer pursuant
to this section, the Township shall file in the office of the Tax
Collector a statement showing the amount and due date of the unpaid
balance and identifying the lot and block number of the parcel of
real property that comprises the delinquent cannabis establishment's
premises. The lien shall be enforced as a municipal lien in the same
manner as all other municipal liens are enforced.
