State Codes and Statutes

Statutes > New-jersey > Title-52 > Section-52-18a > 52-18a-78-23

52:18A-78.23.  Tax exemption of projects and other property, and bonds and notes and interest;  in lieu tax payment
    a.  All projects and other property of the authority, and projects erected upon land owned by the authority if the projects have been financed, in whole or in part, directly or indirectly, by bonds or notes of the authority and the projects are used and occupied by State agencies, are declared to be public property devoted to an essential public and governmental function and purpose and shall be exempt from all taxes of the State or any political subdivision thereof;  provided that when all or any part of a project is leased, subleased or licensed to, or otherwise used under an arrangement providing for the acquisition thereof by any person, firm, association, partnership or corporation, other than a State agency, a local governmental agency or other public body the interest created by the lease or other arrangement and the appurtenances thereto shall be listed as the property of the lessee or the user  under the other arrangement, or their respective assignees, and be assessed and  taxed as real estate, but this provision shall not be deemed to modify or  repeal in any respect any tax exemption or tax abatement that the person, firm  or corporation shall otherwise be entitled to with respect to the property of  the project or part thereof.  All bonds or notes issued pursuant to this act  are declared to be issued by a body corporate and politic of the State and for  an essential public and governmental purpose and these bonds and notes, and the interest thereon and the income therefrom and from the sale, exchange or other  transfer thereof, and all funds, revenues, income and other moneys received or  to be received by the authority shall at all times be exempt from taxation,  except for transfer inheritance and estate taxes.

    b.  Projects and property of the authority, and projects erected upon land owned by the authority if the projects have been financed, in whole or in part,  directly or indirectly, by bonds or notes of the authority and the projects are  used and occupied by State agencies, shall be deemed to be "State property"  under P.L.1977, c. 272 (C. 54:4-2.2a et seq.) and shall be assessed and subject  to an in lieu tax payment provided in that act unless the interest created by a  lease, sublease or license or other arrangement is subject to tax as real  estate under this section.

     L.1981, c. 120, s. 23, eff. April 16, 1981.  Amended by L.1983, c. 138, s. 11,  eff. April 14, 1983.