Bill > S1568

Introduced Session

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.

Committee Categories

Nilsa Cruz-Perez (D)*,  Shirley Turner (D)*,  Renee Burgess (D), 

Introduced in the Senate, Referred to Senate Budget and Appropriations Committee (on 01/09/2024)

Official Document