Reduces gross income tax rates by ten percent over three years.

This bill, S 954, proposes to reduce New Jersey's individual income tax rates by approximately 10% over three years through phased adjustments to the state's tax brackets. It directly affects New Jersey residents who pay state income tax, particularly those in higher income brackets where the largest rate reductions apply. Key mechanisms include lowering tax rates across all income levels - such as reducing the top rate from 8.97% to 8.67% for incomes over $500,000 - spread across multiple tax years starting in 2026. The bill aims to provide gradual tax relief, though the exact percentage reduction varies by income tier rather than applying uniformly. (Note: This is a proposed bill introduced in 2026; it has not yet been enacted.)