Manufacturing bill cutting taxes becomes law

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The state will be more welcoming to metal manufacturing companies under a bill sponsored by Assemblywoman Nancy Munoz and Assemblyman Anthony Bucco and signed by Gov. Phil Murphy on May 10.

Munoz and Bucco’s bill, Senate Bill 515 / Assembly Bill 4060, reduces taxes on metal manufacturers, eliminating the tax on sand, binders, washes and other material used in the manufacturing process.

“Manufacturing is essential for a thriving economy and a robust job market,” Munoz, R-21st District, said. “This bill makes our state more affordable and more attractive to industry. The majority of states don’t charge this tax, and this new law makes us more competitive.”

Foundries manufacture tools, gears, engine parts and thousands of other products by pouring molten metal into sand castings. The process is used in the production of more than 60 percent of metal castings, and the parts can be made of steel or nearly any alloy.

“New Jersey has a proud manufacturing history,” said Bucco, R-25th District. “We are seeing a significant resurgence of manufacturing jobs in the country. This bill will help secure our share of these high-paying career opportunities.”