Budget & Taxes (Income Tax)

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

A 2800: Provides gross income tax deduction for New Jersey fuel taxes paid through purchases of motor fuel for personal use of motor vehicles.

This bill would allow New Jersey residents to deduct state fuel taxes paid for personal vehicle use from their gross income tax. It applies to individual filers (single, married filing jointly, or married filing separately) who pay New Jersey motor fuel taxes for personal vehicle operation, with a yearly cap of $1,000 for 2020 and $2,000 for subsequent years. The deduction excludes taxes reimbursed by employers or already deductible through other tax provisions (like business expenses). This directly reduces taxable income for qualifying individuals but does not change tax rates or provide refunds.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax deduction for fuel taxes, reducing taxable income for residents and aligning with tax relief indicators for middle/lower income.95% confidence

Sub-Topics Income Tax

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

A 577: Provides gross income tax credit for certain expenses paid or incurred for care and support of qualifying senior family member; designated as Caregiver's Assistance Act.

New Jersey's Caregiver's Assistance Act creates a tax credit for residents who pay for care of elderly relatives. Caregivers with income under $100,000 (or $50,000 for certain filers) can get 22.5% back on up to $3,000 annually in qualified care costs. Eligible expenses include home health services, adult day care, home modifications, and personal care assistance for qualifying seniors aged 60+ (or 50+ with disability) who meet income requirements. The credit does not apply to costs covered by insurance or government programs, and it's in addition to existing dependent deductions.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credit for middle-income caregivers (under $100k), reducing their tax burden and advancing fiscal relief for qualifying residents.90% confidence ✓ HealthcareSupports HealthcareProvides tax credit for healthcare-related care costs (home health, adult day care) improving access to senior care services, directly advancing patient access and support for caregivers.95% confidence

Sub-Topics Income Tax Tax Credits

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

A 3886: Establishes NJ Gross Income Tax EasyFile Program; pilot program to allow Division of Taxation to prepare gross income tax return forms for certain taxpayers.

This bill (A 3886) creates a pilot program allowing New Jersey's Division of Taxation to prepare simplified, pre-filled tax returns for eligible residents with straightforward tax situations. It targets NJ residents earning under $75,000 annually with income solely from W-2 wages (no self-employment), who filed simple returns in prior years. Taxpayers receive pre-filled forms by March 15 containing verified wage data and calculated tax liability, which they may choose to use or file manually without penalty. The program is voluntary, free, and aims to reduce filing complexity while requiring taxpayers to verify all information before submission.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates pre-filled tax returns for under-$75k earners with simple W-2 income, reducing filing complexity and providing tax relief to lower/middle-income taxpayers.90% confidence

Sub-Topics Income Tax

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

A 879: Excludes from New Jersey gross income tax income of certain related survivors of members of United States military who die in active duty.

New Jersey's Bill A 879 exempts from state gross income tax certain income received by surviving spouses and unmarried children of New Jersey-resident military members who die in active duty under specific conditions. It applies to surviving spouses (who are New Jersey residents and have not remarried) and unmarried children under 19 (or qualifying as federal dependents) who were claimed as dependents by the deceased service member or surviving spouse. To claim the exemption, survivors must annually certify their eligibility to the state tax authority, which then issues written proof to employers to prevent tax withholding on their wages. The exclusion covers income received during the taxable year and takes effect for years beginning after the bill's enactment.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts military survivors' income from NJ gross income tax, providing tax relief per bill's explicit tax exemption for qualifying dependents.90% confidence ✓ VeteransSupports VeteransExempts survivors' income from tax, providing financial support to families of service members who died in active duty, directly advancing veteran family benefits.90% confidence

Sub-Topics Income Tax Military Families

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

A 3770: Provides for voluntary contributions by taxpayers on gross income tax returns for New Jersey Commission on Cancer Research.

This bill establishes a voluntary contribution option on New Jersey's gross income tax returns to fund cancer research. Taxpayers can choose to direct a portion of their refund or make an additional payment to the "New Jersey State Commission on Cancer Research Charitable Contribution Check-Off Fund" when filing their taxes. All contributions collected will be deposited directly into this fund and annually appropriated to the Commission for approved research projects, including cancer prevention, treatment, genetic causes, and palliative care. The fund supplements existing cancer research funding sources but does not allow state retention of contributions for administrative costs.

Topics ✓ Budget & TaxesSupports Budget & TaxesVoluntary tax contributions fund cancer research, creating new revenue stream for essential program without mandatory tax increase.95% confidence ✓ HealthcareSupports HealthcareBill creates voluntary tax contributions to fund cancer research, directly advancing healthcare research initiatives through dedicated funding.95% confidence

Sub-Topics Income Tax

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

A 3449: Allows gross income tax credit for certain child care staff and registered family day care providers.

This bill creates a New Jersey state income tax credit for child care staff and registered family day care providers. Eligible workers must have worked continuously for six months in their current role and directly supervise children. The credit amount varies by income level (ranging from $500 to $1,500 annually) and depends on whether they care for infants/toddlers (under 30 months) or older children, with higher credits for infant care. To qualify for the full infant care credit, workers must spend at least 50% of their time providing direct child care services.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credit ($500-$1,500) for child care workers, offering tax relief to lower-income caregivers and supporting essential service funding through fiscal policy.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides tax credit to child care workers, increasing income and supporting employment benefits in the sector per bill's direct financial support mechanism.95% confidence

Sub-Topics Income Tax Tax Credits

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

A 1305: Allows a gross income tax deduction for certain higher education tuition and fee expenses.

This bill allows New Jersey taxpayers with gross income of $85,000 or less to deduct certain higher education tuition and fee expenses paid during the year. The deduction applies to expenses for the taxpayer, their spouse, or dependents who are enrolled as matriculated students at accredited public or independent colleges or universities. It covers tuition and fees paid directly to the institution, not other education costs. The policy change takes effect immediately for taxable years after enactment.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax deduction for lower-income taxpayers ($85k cap), reducing taxable income and offering direct tax relief.95% confidence ✓ EducationSupports EducationProvides tax deduction for higher education tuition, increasing affordability and access for lower-income taxpayers enrolled in accredited institutions.90% confidence

Sub-Topics Income Tax Higher Education Student Financial Aid

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

A 2557: Provides gross income tax exclusion for military compensation paid to State residents for out-of-State military service.

This bill exempts certain military compensation from New Jersey's state income tax for residents who serve outside the state. Specifically, it excludes pay received by New Jersey-domiciled service members deployed or stationed out-of-state for at least six months during a tax year, including housing allowances, subsistence payments, and mustering-out benefits. The policy directly affects New Jersey residents serving in the U.S. Armed Forces who are not stationed within New Jersey for a significant portion of the year. The bill amends New Jersey tax code section 54A:6-7 and would take effect immediately upon enactment. (Note: The bill is pending, introduced January 13, 2026, and not yet enacted.)

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts military compensation from NJ income tax, providing tax relief to service members as a direct tax policy change.95% confidence ✓ VeteransSupports VeteransExempts military compensation from NJ state income tax for out-of-state service, directly expanding financial benefits for veterans.95% confidence

Sub-Topics Income Tax

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

A 3620: Provides corporation business tax credits and gross income tax credits to farm employers for providing lodging or transportation benefits.

This New Jersey bill (A 3620) provides tax credits to farm employers who offer lodging or transportation benefits to their employees. Farm employers can claim up to $250 per employee for qualifying lodging (must be on-site, required for employment, and provided for at least six weeks) and up to $500 per employee for transportation benefits (reimbursing actual costs like transit or fuel). The credits apply to both corporation business tax and gross income tax, but cannot exceed 50% of the employer’s tax liability. It directly affects New Jersey farm businesses that provide these specific employee benefits.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill provides tax credits (relief) to farm employers, directly impacting taxation policy as a form of tax relief.90% confidence ✓ Labor & EmploymentSupports Labor & EmploymentBill incentivizes farm employers to provide lodging/transportation benefits via tax credits, expanding employee benefits as per Labor & Employment indicators.95% confidence

Sub-Topics Business Taxes Income Tax

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

A 808: Provides a STEM graduate retention tax credit for certain employers who pay certain employees' education loan debt.

This bill creates a tax credit for New Jersey employers who pay up to $5,000 annually toward the student loans of qualifying STEM graduates. It directly affects employers in the state who hire full-time employees with STEM degrees from New Jersey public colleges, who live and work in New Jersey, and have outstanding, non-defaulted student loans. Employers can claim this credit against corporation business tax or gross income tax, with eligibility certified by the Higher Education Student Assistance Authority. The credit applies to loans paid on or after the date the bill takes effect (January 1 following enactment).

Topics ✓ Budget & TaxesSupports Budget & TaxesBill creates a tax credit (reducing employer tax liability) for STEM hiring, directly providing tax relief per Budget & Taxes indicators.95% confidence ✓ EducationSupports EducationBill provides tax credit to NJ employers for paying STEM graduates' student loans, directly supporting higher education retention and reducing debt burden for graduates from NJ public colleges.90% confidence

Sub-Topics Business Taxes Income Tax Tax Credits

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