Bill > S2303

Introduced Session

This bill, designated as the Caregiver's Assistance Act, provides a gross income tax credit to qualified caregivers, including resident taxpayers and resident individuals, who pay or incur qualified care expenses for the care and support of a qualifying senior family member. The maximum allowable gross income to qualify for a credit under the bill will be $100,000 in the case of taxpayers filing a joint return and $50,000 for taxpayers filing separately or an individual tax return. The amount of the credit will be equal to 22.5 percent of up to $3,000 in qualified care expenses paid or incurred by the qualified caregiver during the taxable year, or a maximum of $675 per year. The bill provides that, if multiple qualified caregivers are allowed a credit for qualified care expenses of the same qualifying senior family member, the credit allowed will be allocated in equal amounts unless a different allocation is established by agreement. The bill provides that the credit is in addition to the benefit of the dependent deduction that may be received by the qualified caregiver for claiming the qualifying senior family member as a dependent on the caregiver's gross income tax return. The bill provides that the credit is refundable, such that, the amount of any credit that reduces the qualified caregiver's tax liability to an amount less than zero will be refunded to the caregiver as an overpayment of tax. The bill provides that a qualified caregiver is eligible to receive the benefits of the credit, even if the caregiver has gross income below the statutory minimum subject to tax. The bill defines a qualifying senior family member as an individual who: 1) is 60 years of age or older and a relative of the qualified caregiver, or is 50 years of age or older, is a relative of the qualified caregiver, and qualifies for Social Security Disability Insurance, and 2) has gross income for the taxable year not in excess of the New Jersey Elder Index, as reported by the Department of Human Services pursuant to P.L.2015, c.53 (C.44:15-1 et seq.) for the most recent calendar year. The bill generally defines qualified care expenses as the expenses paid or incurred during the taxable year for the purchase, lease, or rental of tangible personal property and services that are necessary to allow the qualifying senior family member to be maintained within or at the qualified caregiver's or the qualifying senior family member's permanent place of abode in this State.

Committee Categories

Jim Beach (D)*, 

Introduced in the Senate, Referred to Senate Health, Human Services and Senior Citizens Committee (on 01/25/2024)

Official Document