Budget & Taxes

in committee · New Jersey · General Assembly Jan 13, 2026

A 2155: Increases insurance premium tax credit for certain insurance companies to reduce retaliatory tax liability imposed by other states.

This bill increases New Jersey's insurance premium tax credit for domestic insurance companies from 15% to 90% of retaliatory tax liability paid to other states. It directly affects insurance companies licensed in New Jersey that operate in multiple states, allowing them to reduce their New Jersey tax bill by a larger portion of taxes paid to other states. The key provision amends existing law to replace the current 15% credit (with annual 1% increases up to 15%) with a flat 90% credit for all filings due on or after March 1, 2024. This change aims to make New Jersey more competitive with states offering higher credits for retaliatory taxes.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases tax credit for insurers from 15% to 90%, reducing state tax liability and providing fiscal relief to businesses, directly advancing tax policy within Budget & Taxes.95% confidence

Sub-Topics Tax Credits

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in committee · New Jersey · General Assembly Jan 13, 2026

A 2294: Eliminates sales tax on baby necessities and sunscreen.

This bill exempts specific baby products and sunscreen from New Jersey's sales tax starting October 1, 2025. It directly affects parents and caregivers purchasing baby necessities like baby wash, car seats (child restraint systems), cribs, nursing bottles, and strollers, as well as sunscreen regulated by the FDA for sun protection (excluding cosmetic products). The bill amends existing tax law to add these items to the list of exempt sales, clarifying definitions for terms like "child restraint system" and "sunscreen." It does not change tax rates but removes tax from these specific retail purchases. The exemption applies to all qualifying products sold after the effective date.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts essential baby products and sunscreen from sales tax, providing direct tax relief for lower/middle-income families purchasing necessities.95% confidence

Sub-Topics Procurement Sales Tax

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in committee · New Jersey · General Assembly Jan 13, 2026

ACR 64: Proposes constitutional amendment permitting Gold Star families to receive veteran's property tax deduction.

ACR 64 proposes a constitutional amendment to extend New Jersey's existing $250 annual property tax deduction for veterans to Gold Star families. This would allow parents, siblings, children, legal guardians, or legal custodians of service members who died while on active duty or from duty-related injuries to receive the same deduction. The deduction would be limited to one per family, with priority among eligible relatives determined by law. Unmarried surviving spouses of deceased veterans are already covered under current law and would not be affected by this change. The amendment requires voter approval to take effect.

Topics ✓ Budget & TaxesSupports Budget & TaxesExtends property tax deduction, providing tax relief to Gold Star families.95% confidence ✓ VeteransSupports VeteransExtends existing $250 veteran property tax deduction to Gold Star families, expanding benefits for families of fallen service members.95% confidence

Sub-Topics Property Tax Memorials & Recognition

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in committee · New Jersey · General Assembly Jan 13, 2026

A 3807: Exempts sales of pet food purchased for pets from the sales and use tax.

This bill exempts sales of pet food purchased for personal use by household pets from New Jersey's sales and use tax. It directly affects pet owners and businesses selling pet food, as they will no longer collect or pay tax on these items. The law defines "pet food" broadly to include feed, medicines, vitamins, and other commercially prepared products intended for domesticated animals kept in or near a household. The exemption applies to purchases made for individual pets, not commercial or agricultural use, and takes effect in the second calendar quarter following enactment. This is a straightforward tax change with no new government programs or complex requirements.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts pet food sales from sales tax, providing direct tax relief for pet owners (middle/lower income households) as defined in the bill's summary.95% confidence

Sub-Topics Sales Tax

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in committee · New Jersey · General Assembly Feb 19, 2026

A 4143: "Long-Term Budget Outlook Act"; requires State Treasurer to prepare and submit annual multi-year fiscal outlook analysis report.

This bill (A4143, "Long-Term Budget Outlook Act") requires New Jersey's State Treasurer to prepare and submit two annual reports to the Governor and Legislature. The reports must project the state's budget outlook for the next three fiscal years (current year plus two subsequent years), including distinct forecasts of potential long-term budget gaps under optimistic, pessimistic, and baseline economic scenarios. Key provisions include detailed projections of all state revenues, appropriations, and fund balances using a "current services basis" (projecting costs to maintain existing programs), along with clear explanations of the assumptions used. These reports aim to provide transparency about future fiscal challenges to inform budget decisions.

Topics ✓ Budget & TaxesSupports Budget & TaxesRequires annual multi-year budget forecasts with fiscal gap analysis, promoting transparency and fiscal responsibility in state budget management.90% confidence

Sub-Topics Revenue State Budget

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in committee · New Jersey · General Assembly Jan 13, 2026

A 1793: Establishes "Recovery Tax Credit Program"; incentivizes hiring and continued employment of certain individuals in recovery from substance use disorder.

This New Jersey bill (A 1793) creates a "Recovery Tax Credit Program" that provides tax incentives to employers who hire and retain individuals recovering from substance use disorders. Employers must become "certified" by meeting requirements like partnering with recovery providers and offering qualifying health insurance. Certified employers can claim tax credits up to $2,000 per eligible employee (based on hours worked, minimum 500 hours), with a total annual budget cap of $2 million. The program directly affects employers in New Jersey and individuals in recovery who meet the defined eligibility criteria.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credits ($2,000/employee) to employers, reducing taxable income for businesses. Funds through state budget cap ($2M annual), aligning with tax relief and fiscal support for targeted employment programs.92% confidence ✓ Criminal JusticeSupports Criminal JusticePromotes rehabilitation through employment incentives, reducing recidivism - key criminal justice reform focus.90% confidence ✓ HealthcareSupports HealthcareRequires employers to offer qualifying health insurance for certification, promoting health coverage access for substance use disorder recovery (a healthcare focus).95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides tax credits to employers hiring individuals recovering from substance use disorder, advancing employment opportunities for a vulnerable workforce.90% confidence

Sub-Topics Tax Credits Insurance Substance Abuse

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in committee · New Jersey · General Assembly Jan 13, 2026

A 3528: Authorizes State constitutional convention to reform system of property taxation; makes appropriation.

This bill authorizes a constitutional convention to reform New Jersey's property tax system, requiring two public votes: one in 2012 to approve the convention and another in 2013 to ratify its recommendations. The convention must propose revenue-neutral changes (keeping total state tax revenue the same) to reduce property tax inequities, especially for low- and moderate-income residents, while maintaining current school funding and affordable housing obligations. It mandates that the convention complete its proposals by August 2013 for voter approval in November 2013, with any statutory changes subject to future legislative review.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill targets property tax inequities for low/moderate-income residents through revenue-neutral reform, maintains school funding, and explicitly aims to reduce tax burdens via constitutional convention. Directly advances tax fairness within Budget ...95% confidence ✓ HousingSupports HousingBill explicitly mandates maintaining current affordable housing obligations during property tax reform, preventing reductions to existing protections.95% confidence

Sub-Topics Appropriations Property Tax Revenue Affordable Housing Property Taxes

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in committee · New Jersey · General Assembly Jan 13, 2026

A 1183: Excludes under gross income tax certain contributions to qualified pension plans, deferred compensation plans and provides deduction for certain individual retirement savings.

This bill (A1183) amends New Jersey's gross income tax code to exclude certain retirement contributions from taxable income. It directly affects New Jersey residents who contribute to qualified pension plans, deferred compensation plans, or certain individual retirement savings accounts (like IRAs). The key provision allows these specific contributions to be excluded when calculating taxable income, reducing the tax burden for eligible individuals. The bill creates a new deduction for eligible retirement savings, aligning New Jersey tax treatment more closely with federal rules for these contributions. This is a procedural tax code change with no new programs or funding mechanisms.

Topics ✓ Budget & TaxesSupports Budget & TaxesExcludes retirement contributions from taxable income, reducing tax burden for eligible individuals, aligning with tax relief indicators.95% confidence

Sub-Topics Income Tax Pensions

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in committee · New Jersey · General Assembly Jan 13, 2026

A 1850: Sets flat gross income tax rate at 5.9 percent tax for all taxable income over $37,500 or $75,000, depending on filing status; exempts taxpayers with less income from gross income tax.

This bill (A 1850) sets a flat 5.9% tax rate on New Jersey gross income above $37,500 for single filers or $75,000 for married couples filing jointly, while exempting all income below those thresholds from taxation. It directly affects New Jersey residents whose taxable income exceeds these filing-status-specific limits. The key provision replaces previous tiered tax brackets with a single flat rate for income above the exemption thresholds. This change simplifies the tax structure for higher earners while maintaining tax exemption for lower-income taxpayers. The bill was introduced in 2026 and referred to the Assembly Commerce and Economic Development Committee.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts low/middle income from tax while applying flat rate to higher income, providing tax relief for lower earners and simplifying tax structure per fiscal responsibility indicators.90% confidence

Sub-Topics Business Taxes Income Tax Sales Tax

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in committee · New Jersey · General Assembly Jan 13, 2026

A 2922: Requires appointment of State monitor to school districts that receive 70 percent or more of revenue from State aid.

This bill requires the New Jersey Commissioner of Education to appoint a State monitor for school districts receiving 70% or more of their total revenue from state aid, based on the Department of Education's Taxpayers' Guide to Education Spending. The monitor will oversee the district's business operations and personnel matters, with authority matching existing State monitors under the School District Fiscal Accountability Act. It applies to districts like Trenton, Newark, and Camden City, which reported over 70% state funding in the 2022-2023 school year (e.g., Trenton at 86.3%). The law takes effect immediately upon passage.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill mandates fiscal oversight for state-funded school districts to ensure proper budget management per Taxpayers' Guide, promoting fiscal responsibility.85% confidence

Sub-Topics Audits & Accountability

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