Bill > S3975

This bill amends New Jersey's tax code to provide a gross income tax exclusion for military compensation paid to New Jersey residents who serve in the United States Armed Forces outside of the state for a minimum of six months during a taxable year. Specifically, the bill modifies existing law to create a new tax exemption for military personnel domiciled in New Jersey who are stationed or deployed outside of the state for at least half the year. This means that these service members would not have to pay state income tax on their military compensation, which could provide financial relief for military families. The tax exclusion is part of a broader set of existing tax benefits for military personnel, which already included exemptions for non-residents serving in the Armed Forces, mustering-out payments, and housing and subsistence allowances. The bill will take effect immediately and apply to taxable years beginning on or after the date of enactment, potentially offering immediate tax benefits to qualifying New Jersey military personnel.

Military Affairs and Security

https://www.njleg.state.nj.us/bill-search/2024/S3975