The Opportunity Scholarship Act (S 1027) creates a pilot program allowing New Jersey taxpayers to receive state tax credits for donating to nonprofit scholarship organizations. These donations fund scholarships for low-income children (from households earning ≤2.5x the federal poverty level) attending "chronically failing" public schools - defined as schools where 40%+ of students scored below expectations in both math and language arts for two consecutive years. Scholarships cover tuition at eligible public or nonpublic schools (that accept scholarship students without discrimination and meet state standards), with amounts capped at the per-pupil expenditure of the failing school. The program is currently pending in the Senate Education Committee and will be assessed over a pilot period.
S 1877 provides New Jersey restaurant owners with tax credits to offset increased labor costs from the state's minimum wage hike. The bill calculates credits based on the difference between the new minimum wage (after P.L.2019, c.32) and the previous rate, multiplied by employee hours worked - $3 per hour for tipped staff, excluding delivery employees. Credits max out at $12,500 per employee and apply only to restaurants with five or fewer locations, covering up to 10 tax periods. This directly affects small restaurant businesses by reducing their tax burden tied to mandated wage increases.
This bill creates the "New Jersey Disability Savings Act" to expand tax benefits for individuals with disabilities who use ABLE accounts. It provides a one-time $750 state match for new ABLE account deposits (for taxpayers earning $150,000 or less) and allows full state income tax deductions for all contributions to qualifying ABLE accounts. The program directly affects New Jersey residents with disabilities (or their families) who open ABLE accounts for disability-related expenses like housing, education, or medical costs. Funding for the matching grant depends on annual state appropriations, with the Department of Human Services handling allocation if funds are limited.
S 1496 creates a dedicated "Public Hospital Capital Fund" to use specific assessment revenues from health service corporation reorganizations (like Horizon Blue Cross Blue Shield's reorganization) for capital projects at New Jersey's public hospitals. The fund will hold money collected under P.L.2020, c.145, and must be used solely for public hospital capital improvements based on legislative recommendations. The bill limits annual spending to no more than 25% of the initial assessment amount. This bill directly affects public hospitals in New Jersey by redirecting designated funding toward facility upgrades and infrastructure.
This bill eliminates inheritance taxes for siblings who inherit property from a deceased person in New Jersey. Previously, siblings faced tax rates up to 16% on inherited assets, but the bill removes this tax for all transfers occurring on or after January 1, 2022. The change applies specifically to brothers and sisters inheriting from a decedent, with no tax imposed under the amended law for these transfers. This is a direct policy change to the state's inheritance tax code (R.S.54:34-2).
This bill creates a public awareness campaign and call center to help New Jersey residents access property tax relief programs. It directly affects eligible homeowners and tenants who qualify for six specific programs, including the Stay NJ Credit, ANCHOR, Homestead, and senior/disabled tax deductions. The campaign will explain eligibility, application steps, and required documents through media and online channels, while the call center provides real-time assistance in English and three other common languages. The bill also requires the Stay NJ Task Force to submit an annual report on program administration.
S 984 would allow New Jersey taxpayers to reduce their state income tax bill by deducting the fair market value of vehicles donated to qualifying law enforcement agencies (like police departments, sheriff's offices, or state police). Taxpayers donating vehicles worth over $500 must provide an independent appraisal, and the agency must give written confirmation of the donation details. The deduction applies to cars, boats, or planes (not dealer inventory) donated to eligible agencies, but cannot lower taxable income below zero. Agencies are not required to accept any donated vehicle under this bill.
S 1133 allows volunteer firefighters, first aid squad members, and rescue squad members in New Jersey to claim a $5,000 deduction from their state income tax if they meet specific service requirements. To qualify, firefighters must perform 60% of fire duty (e.g., 400 duty hours yearly with ≤50% for drills or 60% attendance at alarms/drills) and hold Firefighter I certification by January 1. First aid/rescue volunteers must complete 10% of rescue duty (400 hours yearly or 10% alarm attendance with 60% drill participation) and have approved training or EMT certification. The deduction applies only to those who volunteered full-time during the tax year and must be claimed with verification from their department.
This bill provides tax credits to New Jersey-based small businesses during their first three years of operation. To qualify, a business must be registered in New Jersey, operate primarily within the state, have no more than 50 employees, and earn under $100,000 in net income during its first profitable year. The credit covers 75% of the business’s gross income tax in year one, 50% in year two, and 25% in year three. Businesses must obtain prior written authorization from the state tax director to claim the credit, proving the business isn’t related to other existing operations created solely for the credit benefit.
This bill creates a $50 million state fund to help municipalities revitalize vacant, abandoned, or foreclosed properties and convert them into affordable housing for low- and moderate-income residents. It modifies foreclosure rules to allow certified mail notice instead of personal service for tax lien holders seeking to foreclose, speeding up the process while complying with due process requirements established by recent court rulings. The bill directly affects municipalities (which manage property revitalization), tax lien holders (like counties), and renters who benefit from new affordable housing. Key provisions include the dedicated funding for rehabilitation and revised procedures to reduce delays in repurposing properties, addressing New Jersey's shortage of over 200,000 affordable housing units.
