Bill
Bill > S1568
NJ S1568
NJ S1568Provides child tax credit for taxpayers with children ages six to 11 and increases amount of credit for taxpayers with children under 12 over period of two years.
summary
Introduced
01/09/2024
01/09/2024
In Committee
01/09/2024
01/09/2024
Crossed Over
Passed
Dead
01/12/2026
01/12/2026
Introduced Session
2024-2025 Regular Session
Bill Summary
This bill would provide a child tax credit for certain taxpayers with children ages six to 11 and increase the amount of the credit over a period of two years for taxpayers with children under age six and taxpayers with children ages six to 11. Under current law, a resident taxpayer with New Jersey taxable income of $80,000 or less is allowed a credit against the State income tax for each child under age six. The amount of the credit is $500 per child if the taxpayer's income is $30,000 or less and is incrementally reduced with respect to levels of income in excess of $30,000. The credit is completely phased out once a taxpayer's income exceeds $80,000. In addition to those taxpayers with children under age six, the bill expands eligibility for the child tax credit to taxpayers with children ages six to 11. The bill also increases the amount of the credit over a period of two years. Taxpayers with levels of income under $30,000 and a child under age six would be eligible for a $750 credit for the 2023 and 2024 tax years with an incremental reduction of the credit for levels of income over $30,000 before being completely phased out once the taxpayer exceeds $80,000 of income. For tax years beginning on or after January 1, 2025, the credit would increase to $1,000 for those taxpayers with levels of income under $30,000 with an incremental reduction of the credit for levels of income over $30,000 before being completely phased out once a taxpayer exceeds $80,000 of income. Taxpayers with an income of $30,000 or less with a child ages six to 11 would be eligible for a $500 credit for the 2023 and 2024 tax years with an incremental reduction of the credit for income that exceeds $30,000 before being completely phased out once the taxpayer exceeds $80,000 of income. For tax years beginning on or after January 1, 2025, the credit would increase to $600 for those taxpayers with levels of income under $30,000 with an incremental reduction of the credit for levels of income over $30,000 before being completely phased out once the taxpayer exceeds $80,000 of income.
AI Summary
This bill expands and increases the New Jersey Child Tax Credit, which is a credit against the State income tax for taxpayers with children. Currently, the credit is for children under age six and is phased out for taxpayers with incomes over $80,000, with the full credit of $500 available for those earning $30,000 or less. This bill extends eligibility to children ages six to 11 and gradually increases the credit amounts over two years. For children under age six, the credit will increase to $750 for tax years 2023-2024 and to $1,000 for tax years beginning in 2025, for those with incomes of $30,000 or less, with incremental reductions for higher incomes up to $80,000. For children ages six to 11, the credit will be $500 for tax years 2023-2024 and $600 for tax years beginning in 2025, for those with incomes of $30,000 or less, also with incremental reductions up to $80,000. The bill also clarifies that the credit is refundable if it exceeds the tax owed, and outlines rules for part-year residents and how the credit is not counted as income for other state benefits.
Committee Categories
Budget and Finance
Sponsors (3)
Last Action
Introduced in the Senate, Referred to Senate Budget and Appropriations Committee (on 01/09/2024)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/S1568 |
| BillText | https://pub.njleg.gov/Bills/2026/S2000/1568_I1.HTM |
| BillText | https://pub.njleg.gov/Bills/2024/S2000/1568_I1.HTM |
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