New Jersey: Funeral Services and Sales Tax
- Sales Tax News
- Oct 8, 2014 | Gail Cole
It has been said that the only certain things in life are death and taxes. Yet surely it is certain that people don’t want to deal with taxes as they’re burying their dead.
In New Jersey, at least, grieving people do not need to worry about sales tax; goods and services sold by funeral directors, morticians and undertakers are not subject to New Jersey sales tax. It’s a small consolation, perhaps, but a kind gesture.
Funeral directors, morticians and undertakers are considered the end user of goods purchased to provide burial and funeral services. As a result, most of these goods are subject to sales and use tax when purchased by undertakers, morticians and funeral directors. There are a few exceptions.
Examples of items exempt when purchased by undertakers, etc.:
- Burial clothes
- Limousine service used in connection with mortuary and funeral services
Examples of items subject to sales tax when purchased by undertakers, etc.:
- Dirt Wagon
- Grave materials
- Smelling salts
A complete list, which is fascinating in a way, is available in the New Jersey Division of Taxation Technical Bulletin TB-74.
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