New Jersey Administrative Code
Title 5 - COMMUNITY AFFAIRS
Chapter 30 - LOCAL FINANCE BOARD
Subchapter 18 - MUNICIPAL AND COUNTY CHARITABLE FUNDS
Section 5:30-18.6 - Spillover fund
Current through Register Vol. 56, No. 18, September 16, 2024
(a) The ordinance or resolution creating a charitable fund may establish a separate spillover fund to be utilized for the purpose supported by the levy that is authorized under subsection (e) of N.J.S.A. 54:4-66.7, in the event the amount of the donation exceeds the amount that can be credited toward the donor's annual property tax obligation. The approved uses of a spillover fund shall be set forth in the ordinance establishing the spillover fund.
(b) Creditable donations in a spillover fund shall be applied to consecutive annual property tax bills until exhausted, except that donations in a spillover fund shall not be credited against more than five consecutive annual property tax bills issued for a specific parcel; any funds remaining after the five years shall be refunded to the donor. Spillover fund proceeds shall be reported on the balance sheet as a separate pre-paid tax line from the charitable fund.
(c) Monies in a spillover fund shall be utilized by a municipality or county solely for the budget year corresponding to the year in which a taxpayer will receive a credit against their municipal or county purposes property taxes.