Sides Await NJ Supreme Court Decision in Tax Exempt Status of Kean University On-Campus Restaurant
In New Jersey, local municipalities continue to re-examine the status of longstanding property tax exemptions. This includes continued challenges against state institutions and not for profits such as universities, hospitals, houses of worship, and other similar establishments and organizations.
Property Tax Exemptions are in the sights of local taxing authorities.
Skoloff & Wolfe, P.C. Property Tax Appeal Attorney and managing partner, David Wolfe, appeared before the Supreme Court of the State of New Jersey on behalf of Kean University, located in Union Township, N.J. The ruling under consideration by the Court has to do with whether the University, which is property of the State of New Jersey, should maintain all of its existing property tax exemption. The specific issue was whether the university should retain its exemption for its on-campus restaurant that is open to the public. The restaurant, managed by the Kean Foundation, designates 10% of gross proceeds to the Foundation in support of University scholarships. The restaurant is located in the NJ Center for Science, Technology and Mathematics educational facility on the campus.
While both sides await a decision by the Court, there are potential wide ranging implications for other state institutions and not for profits as municipalities look for opportunities to scale back exemptions wherever they might find “profit making” activities, such as those that might be part of operating a medical center, a university campus, or a religious institution. There are also municipalities seeking to cancel exemptions entirely on hospitals and other types of non-profits.
The property tax attorneys at Skoloff & Wolfe, P.C. have many years of experience helping commercial property owners, multi-family, industrial and institutional properties achieve property tax assessment reductions. Results may vary depending on your particular facts and legal circumstances. For not for profits being challenged by their local municipality, the prudent thing to do is to align with experienced legal representation. Skoloff & Wolfe, P.C. are highly skilled in representing clients in this kind of litigation at the trial, Appellate and Supreme Court.
Choosing the Right Legal Team is Important for Not for Profit Property Tax Appeals.
To discuss your not for profit’s property tax exemption matters, long-term abatements, and PILOTs, please contact the Tax Department at Skoloff & Wolfe, P.C. with any questions or to inquire how we can be of assistance.