S 4666 New Jersey Senate · 2024-2025 Regular Session

Modifies payer of additional fees and taxes imposed on certain real property transfers; modifies fees and taxes imposed on property transfers valued over $2 million.

This bill changes who pays certain real estate transfer fees in New Jersey, shifting responsibility from buyers to sellers for properties valued over $1 million. For properties valued over $2 million, it increases tax rates to 2% for $2-2.5 million, 2.5% for $2.5-3 million, 3% for $3-3.5 million, and 3.5% for amounts over $3.5 million. The bill also provides a refund mechanism for sellers who paid fees in excess of 1% for property transfers recorded before November 15, 2025. These changes apply to residential, commercial, and other property transfers meeting the specified criteria.

Issues: ✓ Budget & Taxes

Bill status in committee 1 of 4 stages cleared

Introduction

Jun 2025

Committee Review

Floor Vote

Governor

Introduced Jun 23, 2025 Last action Jun 30, 2025

Maddy AI version diff · 1 comparison

What changed between versions

Introduced Version → Reprint SBA 6/26/25 1R · 4 edits

MODERATE

The Senate Budget and Appropriations Committee report version shifts tax liability from the purchaser to the seller for both the additional real property transfer fee and the controlling interest transfer tax, and replaces the fixed 1% base rate with an unspecified percentage to be determined by a tiered schedule. The effective date and related refund deadlines were also adjusted. These changes make sellers bear the cost of the tax rather than buyers and give more flexibility in setting the applicable rate.

Scope change

The scope of who bears the tax obligation changed from buyers to sellers for transfers over $1 million in consideration. The rate structure was also made more flexible by removing the fixed 1% base and deferring to a tiered schedule.

REQUIREMENT

The party responsible for paying the additional transfer fee and controlling interest transfer tax was changed from the purchaser to the seller.

FISCAL

The base tax rate was changed from a fixed 1% to an unspecified 'a percent,' with the actual rate to be set by the tiered percentage schedule in subparagraph (b).

TIMELINE

The effective date of the act and the related refund eligibility deadlines were modified from July 1, 2025 to a revised date (markup indicates a change but the exact new date is obscured by amendment formatting).

TECHNICAL

The bill statement (explanatory summary) was removed, which is standard for committee reprint versions.

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Full legislative history

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Key actions

Committee

Jun 26, 2025

Upper · Passed

Reported out of Senate Committee with Amendments, 2nd Reading

upper

Jun 23, 2025

Introduced

Introduced in the Senate, Referred to Senate Budget and Appropriations Committee

upper

1 primary · 0 co-sponsors