S 2950 creates tax credits for businesses that convert abandoned commercial buildings (defined as 100,000+ square feet) into residential housing. Developers qualify for a credit equal to 25% of eligible construction costs (up to $1 million per project), covering expenses like demolition, site cleanup, and building repurposing. The credit applies to both New Jersey’s Corporation Business Tax and Gross Income Tax. To claim it, businesses must complete the project before applying and submit documentation to the Division of Taxation. This policy directly affects developers redeveloping underutilized commercial sites into housing.
This bill (S 1450) updates New Jersey's NJBEST education savings program to make it more accessible for families. It increases the state income tax deduction for contributions to $15,000 (from $10,000) for taxpayers earning $300,000 or less annually, and creates two new grant programs: a $1,000 one-time match for initial deposits by low-income families ($150,000 income or less), plus a $500 grant for transferring funds from out-of-state 529 plans. The bill also establishes a new NJBEST Advisory Council to guide the program and ensures account balances up to $50,000 won't count against students for state financial aid. These changes directly affect New Jersey families saving for higher education expenses through the NJBEST program.
This New Jersey bill (S 1763) creates a refundable tax credit for homeowners who make extra principal payments on qualifying mortgages. Taxpayers can claim 50% of these extra payments, up to $1,000 annually, reducing their state income tax bill (or creating a refund if the credit exceeds tax owed). To qualify, the mortgage must be for a primary residence, be a traditional 15-30 year loan, and the homeowner must meet income limits (e.g., single filers with $125,000-$135,000 taxable income see reduced credits). The credit applies only to payments beyond the required monthly amount and cannot be claimed for more than 10 years total.
S 2058 would amend New Jersey's tax code to exclude tips from gross income tax calculations. The bill removes tips from the list of taxable income categories in the state's definition of gross income, meaning tips earned by workers would no longer be subject to state income tax. This change would directly affect individuals who rely on tips for income, such as restaurant servers, bartenders, and hospitality workers. As a result, these workers would have a lower taxable income and potentially pay less in state income tax.
This bill (S 982) modifies New Jersey's retirement income tax exclusion to help seniors aged 62+ who work part-time. It allows individuals with retirement income to exclude that income from taxable income even if they earned over $3,000 from part-time employment (defined as less than 30 hours/week), which previously disqualified them. The exclusion amount is reduced based on part-time earnings: subtracting (2,000 × minimum wage) and any other claimed exclusion. It specifically excludes those working full-time (30+ hours/week) from this provision. The bill affects New Jersey retirees with modest part-time income who would otherwise lose their retirement tax benefit.
This bill allows New Jersey taxpayers to deduct up to $1,500 of charitable contributions made to qualifying New Jersey animal shelters from their state gross income tax. It specifically defines "animal shelter" as a licensed facility caring for abandoned, lost, or endangered domestic animals until adoption, relocation, or euthanasia, including municipal animal control facilities. The deduction applies to donations made in a taxable year to shelters meeting these criteria. The policy change takes effect for taxable years beginning after the bill's enactment date.
S 1622 creates a tax credit program for New Jersey employers who hire military spouses who are nonresidents of the state but live in New Jersey due to their spouse's military service (such as being transferred here, legally domiciled here, or moving on a permanent change-of-station). Employers receive a credit equal to 15% of wages for military spouses working 120-400 hours per year or 25% for 400+ hours, capped at $2,400 per employee annually. The credit reduces corporation business tax or gross income tax and requires employers to apply through the Commissioner of Labor and Workforce Development. The bill directly supports military spouses facing employment disruptions from frequent military relocations.
S 1199 would create a New Jersey tax credit of up to $2,500 annually for residents who provide care to a qualifying relative (65+ or meeting disability criteria) or to an individual with a documented disability. The credit covers documented expenses like home modifications, medical equipment, in-home care services, and transportation for medical needs. Caregivers must submit receipts, proof of payment, and verification of care to claim the credit, which can be used alongside a dependent tax deduction. Any unused credit reducing tax liability to zero would be refunded as an overpayment.
This bill creates tax credits for New Jersey employers who hire immediate family members (spouse, child, or parent) of military members killed in action. Employers receive a 10% credit on qualified wages paid to these new hires, capped at $1,200 per family member per tax year, provided the employee works full-time for at least nine consecutive months. The credit is nonrefundable but can be carried forward for up to 20 years, and employers cannot combine it with other state tax credits for the same wages. It applies to both corporation business tax and gross income tax, effective for tax years starting after the bill's enactment.
S 2515 creates a tax credit for New Jersey businesses that hire employees with developmental disabilities. Employers can claim a credit equal to 10% of wages paid to qualifying employees, capped at $3,000 per employee and $60,000 total per business annually. To qualify, employees must be certified by New Jersey’s Division of Developmental Disabilities as eligible for its services. Businesses cannot claim this credit for the same employee if they also claim a separate credit for employment at a sheltered workshop or occupational training center.
