New Jersey Administrative Code
Title 2 - AGRICULTURE
Chapter 76 - STATE AGRICULTURE DEVELOPMENT COMMITTEE
Subchapter 27 - WINERY SPECIAL OCCASION EVENTS ON PRESERVED FARMLAND
Section 2:76-27.3 - Definitions

The following words and terms shall have the followings meanings, unless the context clearly indicates otherwise.

"Accounting method" means a set of rules used to determine when and how the winery reports income and expenses on its Federal income tax return, such as the cash, accrual, hybrid, and special methods.

"Accounting records" means hardcopy books, electronic records (that is, QuickBooks, Excel, and other accounting software), and supporting data used in filing the winery's Federal income tax returns and financial statements of the winery.

"Annual accounting period" means the consecutive 12-month period for which the winery maintains its accounting records, beginning on January 1 and ending on December 31.

"Annual gross income" means all of the winery's income (from all sources) for the calendar year, including income from special occasion events and income from the winery's agricultural output.

"Annual gross income from special occasion events" means the annual gross income received for admission fees; rental fees; setup, breakdown, and cleaning fees; catering fees; and all other revenue that is not directly related to the agricultural output of the winery, but is generated by the winery in conjunction with conducting special occasion events in a given calendar year. It does not include wine sales or income derived from the sale of complementary and supplementary products related to the winery's wine, such as wine glasses, winery-branded T-shirts, bottle openers, etc.

"Balance sheet" means a financial statement that shows the winery's assets, liabilities, and net worth on a specific date, which is usually the last day of an annual accounting period.

"Board" means a county agriculture development board established pursuant to N.J.S.A. 4:1C-14 or a subregional agricultural retention board established pursuant to N.J.S.A. 4:1C-17.

"Calendar year" means 12 consecutive months beginning on January 1 and ending on December 31.

"Cash flow statement" means a financial statement that shows the inflows and outflows of cash from the winery's activities during a stated annual accounting period and the related footnotes.

"Committee" means the State Agriculture Development Committee established pursuant to N.J.S.A. 4:1C-4.

"Comprehensive compliance audit" means an audit of the winery's accounting records, financial statements, and income tax returns with an emphasis on auditing the winery's sales and income accounts, also known as a forensic audit.

"Controlled group of entities" means a combination of two or more entities that are under common control within the meaning of 26 CFR 1.1563-1 et seq, which is incorporated herein by reference and available at http://www.gpo.gov/fdsys/pkg/CFR-2010-title26-vol13/pdf/CFR-2010-title26-vol13-sec1-1563-1.pdf.

"Financial statements" means the winery's balance sheet, income statement, and cash flow statement.

"Fiscal year" means 12 consecutive months ending on the last day of any month except December.

"Income statement" means a financial statement that shows income and expenses, also known as a profit and loss statement.

"Municipality" means any city, borough, town, township, or village.

"Point-of-sale" means the method by which sales are recorded at the time of a sale and entered into the accounting records.

"Premises" means the property under easement, which is defined by the legal metes and bounds description in the preserved farmland deed of easement.

"Preserved farmland" means land on which a development easement was conveyed to, or retained by, the State Agriculture Development Committee, a county agriculture development board, a county, a municipality, or a qualifying tax exempt nonprofit organization pursuant to the provisions of section 24 of P.L. 1983, c. 32 (N.J.S.A. 4:1C-31) , section 5 of P.L. 1988, c. 4 (N.J.S.A. 4:1C-31.1) , section 1 of P.L. 1989, c. 28 (N.J.S.A. 4:1C-38) , section 1 of P.L. 1999, c. 180 (N.J.S.A. 4:1C-4 3.1), sections 37 through 40 of P.L. 1999, c. 152 (N.J.S.A. 13:8C-37 through 13:8C-40) , or any other State law enacted for farmland preservation purposes.

"Special occasion event" means a wedding, lifetime milestone event, or other cultural or social event as defined by the appropriate county agriculture development board, and conducted pursuant to the requirements set forth in N.J.S.A. 4:1C-32.7 et seq.

"Winery" means a commercial farm where the owner or operator of the commercial farm has been issued and is operating in compliance with a plenary winery license or farm winery license pursuant to N.J.S.A. 33:1-10.