N.J. Admin. Code § 18:12-2.2

Current through Register Vol. 56, No. 7, April 1, 2024

Section 18:12-2.2 - Property classifications with definitions

(a) Class 1: "Vacant Land" means land itself above and under water in its original, indestructible, immobile state. Vacant land is idle land, not actively used for agricultural or any other purpose; unused acreage; and is land in an approved subdivision actively on the market for sale or being held for sale.

(b) Class 2: "Residential Property" means property described generally as a dwelling house and the lot or parcel of land on which the dwelling house is situated. The dwelling is functionally designed for use and enjoyment by not more than four families and includes residential condominiums. A dwelling functionally designed for use and enjoyment by more than four families should be designated Class 4C "Apartments."

(c) Class 3A: "Farm Property (Regular)" means:

1. Land, together with improvements, where the use of the land and function of the buildings on that land are for agricultural or horticultural purposes, but which is not qualified for nor assessed under the Farmland Assessment Act of 1964, N.J.S.A. 54:4-23.1 et seq.;

2. Improvements of the types and like listed in N.J.S.A. 54:4-23.11, including barns, sheds, silos, etc., which are located on land classified as Class 3B "Farm Property (Qualified)." However, such improvements shall not include "single-use agricultural or horticultural facilities" as defined in N.J.S.A. 54:4-23.12, which are considered personal property; and

3. Farm houses and the lots or parcels of land on which they are situated. For definitions of agricultural use and horticultural use, see N.J.A.C. 18:15-1.1, adopted under the Farmland Assessment Act of 1964, N.J.S.A. 54:4-23.1 et seq.

(d) Class 3B: "Farm Property (Qualified)" means land that has qualified and is assessed under the Farmland Assessment Act of 1964, N.J.S.A. 54:4-23.1 et seq.

(e) Class 4A: "Commercial Property" means any other type of income-producing property other than property in classes 1, 2, 3A, 3B, 4B, and 4C; for example, shopping centers, malls, office buildings, restaurants, theaters, etc.

(f) Class 4B: "Industrial Property" means land or land and improvements adaptable for industrial use; ideally, a combination of land, improvements, and machinery, which is integrated into a functioning unit intended for the assembling, processing, and manufacturing of finished or partially finished products from raw materials or fabricated parts, such as factories; or a similar combination intended for rendering service, such as laundries, dry cleaners, or storage warehouses.

(g) Class 4C: "Apartments" designed for the use and enjoyment of five families or more including residential co-operatives and mutual housing corporations. Medical residential facilities such as assisted living facilities, comprehensive personal care homes, long-term care facilities, acute care facilities, nursing homes, drug abuse treatment centers, hospice facilities, behavioral health programs, or residential health care facilities are Class 4A properties, not Class 4C properties.

1. While Classes 4A, 4B, and 4C are required to be separately designated on the tax list, the aggregate of these classes will be indicated as Class 4 ("Other") for the purpose of the Table of Equalized Valuations (school aid table).

(h) Class 5A: "Railroad Class I" means real property consisting of the length of main stem of a railroad in each taxing district. For the definition of main stem, see N.J.A.C. 18:23-1.2.

(i) Class 5B: "Railroad Class II" means all real property used for railroad purposes that is not Class I or classified "Railroad Class III" meaning passenger facilities.

(j) Class 6A: "Personal Property Telephone" means tangible goods and chattels exclusive of inventories used in the business of local exchange telephone companies that were subject to tax as of April 1, 1997, under P.L. 1940, c. 4 (N.J.S.A. 54:30A-16 et seq.), now repealed, and providing dial tone and access to 51 percent of a local telephone exchange as of January 1 of the pre-tax year.

(k) Class 6B: "Machinery, Apparatus, or Equipment of Petroleum Refineries" means the machinery, apparatus, or equipment of a petroleum refinery directly used to manufacture petroleum products from crude oil in any series of petroleum refinery processes commencing with the introduction of crude oil and ending with refined petroleum products, but shall exclude items of machinery, apparatus, or equipment located on the grounds of a petroleum refinery but which are not directly used to refine crude oil into petroleum products.

(l) Class 15A: "Public School Property" means real property owned by Federal, State, county, or local governments, or their agencies used for public education.

(m) Class 15B: "Other School Property" means real property owned by a non-governmental, non-profit corporation used for educational purposes.

(n) Class 15C: "Public Property" means real property owned by Federal, State, county, or local governments, or their agencies and devoted to public uses.

(o) Class 15D: "Church and Charitable Property" means real property owned by religious and charitable organizations actually used in the work of the organizations.

(p) Class 15E: "Cemeteries and Graveyards" means real property solely devoted to or held for use as a cemetery, graveyard, or burial ground.

(q) Class 15F: "Other Exempt" means real property exempt from taxation but not described in any of the foregoing classes.

N.J. Admin. Code § 18:12-2.2

Amended by 50 N.J.R. 664(a), effective 1/16/2018