Provides gross income tax deduction for New Jersey fuel taxes paid through purchases of motor fuel for personal use of motor vehicles.

This bill allows New Jersey individual taxpayers to deduct state fuel taxes paid on motor fuel used for personal vehicle travel from their gross income tax. It directly affects residents who drive personal vehicles, enabling them to reduce their taxable income by the amount of New Jersey fuel taxes paid for non-business trips (e.g., commuting, shopping). The deduction is capped at $1,000 for 2021 and $2,000 for subsequent years, and excludes amounts reimbursed by employers or already deducted elsewhere (like business expenses or medical costs). The deduction applies to taxes paid under New Jersey’s Petroleum Products Gross Receipts Tax Act and Motor Fuel Tax Act.