Bill > S107

Introduced Session

This bill revises homestead property tax reimbursement eligibility requirements for certain claimants who relocate their existing homestead to another homestead within the same municipality after initially qualifying for the benefit. Under current law, an eligible claimant must have paid property taxes directly, or through rent, on any homestead or rental unit used as a principal residence in this State for at least 10 consecutive years, at least three of those as owner of the property for which a homestead property tax reimbursement is sought, prior to the date that an application for a homestead property tax reimbursement is filed. The law allows an eligible claimant who moves to another New Jersey homestead after initially qualifying to resume eligibility to receive a reimbursement in connection with the new home, but only beginning the second full tax year after the move. This bill shortens the time that must elapse between a move and the resumption of benefits for eligible claimants who relocate within the same municipality. The bill provides that, after initially qualifying, an eligible claimant who moves from one homestead to another homestead of equal or lesser value that is located within the same municipality as the homestead for which the initial eligibility was established and that is not new construction will be allowed to resume eligibility to receive a homestead property tax reimbursement for the first full tax year following the eligible claimant's move. The bill makes similar modifications to the base year on which property tax reimbursements are based. The bill provides that for eligible claimants who move from one homestead to another homestead of equal or lesser value that is located within the same municipality as the homestead for which the initial eligibility was established and that is not new construction, the base year on which reimbursements will be based will be the tax year immediately preceding the first full tax year during which the claimant resides in the new homestead. Under the bill, the new base year can be no earlier than tax year 2018 and the first claim for which a person making a move within the same municipality can reestablish eligibility to receive, and file a claim for, a homestead property tax reimbursement is tax year 2019. Accordingly, the first payments to claimants who have reestablished their eligibility will be made in fiscal year 2020. The bill takes effect immediately upon enactment.

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Nia Gill (D)*, 

Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee (on 01/14/2020)