Bill > A462

Introduced Session

This bill amends current law to make it easier for eligible claimants to file an application for the homestead property tax reimbursement program. This program is more commonly known as the "senior freeze." In pertinent part, P.L.1997, c.348 limited eligibility for the homestead property tax reimbursement to senior citizens and disabled persons who were eligible for the program of pharmaceutical assistance to the aged and disabled (PAAD). A claimant's eligibility to receive a homestead property tax reimbursement was based, in part, on whether their income was within the limit used to determine eligibility for PAAD. This method of calculating income requires a claimant to file a separate application for the homestead property tax reimbursement which reports all source of income, including income they do not report on their New Jersey gross income tax return. This application process is often cumbersome and confusing for senior freeze applicants. This bill provides that an applicant's gross income, as reported pursuant to the "New Jersey Gross Income Tax Act," would be used to determine their eligibility for a homestead property tax reimbursement. Using gross income to determine a claimant's eligibility for a homestead property tax reimbursement is intended to make the homestead property tax reimbursement process less stressful because claimants will not have to file a separate application to report their income and the Division of Taxation will be able to determine a claimant's eligibility by reviewing their New Jersey gross income tax return. The bill also requires an eligible claimant to file a property tax reimbursement application with their New Jersey gross income tax return. The bill permits the Director of the Division of Taxation to establish alternate methods of submitting a property tax reimbursement application if an eligible claimant is not required to file a gross income tax return or if an eligible claimant is has filed an extension to file their gross income tax return. The bill also allows the Director of the Division of Taxation to require the submittal of additional information necessary to determine a claimant's eligibility to receive a homestead property tax reimbursement. This bill takes effect immediately but would not be operative until January 1, 2023 in order provide the Division of Taxation time to update its processes for administering the homestead property tax reimbursement program.

AI Summary

Committee Categories

Joe Danielsen (D)*,  Verlina Reynolds-Jackson (D)*, 

Introduced, Referred to Assembly State and Local Government Committee (on 01/09/2024)

Official Document