NJ S1217

Creates a manufacturing reinvestment account program allowing qualified manufacturers to deposit up to $100,000 annually into special accounts and deduct those contributions from taxable income.

Limits eligibility to manufacturing businesses with 50 or fewer employees that are current on their New Jersey tax obligations.

Defers taxation on account earnings until withdrawn, and provides a 50% income tax rate reduction on earnings when funds are used for qualified purposes.

Qualified reinvestment expenditures include machinery or equipment for manufacturing facilities and workforce training, development, or expansion for New Jersey personnel.

Tax benefits apply for five consecutive years from the first deposit; any amounts remaining after five years are deemed distributed and taxed at full rates.