NJ S2025

Bill

NJ S2025

Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.

Introduced
01/13/2026

In Committee
01/13/2026

Crossed Over

Passed

Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill increases tax relief under the New Jersey gross income tax for residential tenants. The bill provides income tax relief for tenants by increasing, from 18 percent to 30 percent, the amount of rent defined as "rent constituting property taxes". The bill also changes the gross income tax deduction for residential tenants to a refundable gross income tax credit of up to $15,000 for "rent constituting property taxes." Increasing the cap on the amount of rental payments defined as "rent constituting property taxes" and allowing that amount to be a refundable tax credit of up to $15,000 will reduce residential tenants' tax burdens.

AI Summary

This bill increases tax relief for residential tenants in New Jersey by changing how "rent constituting property taxes" is calculated and by shifting the benefit from a deduction to a refundable tax credit. Specifically, it increases the percentage of rent that is considered to represent property taxes from 18% to 30%, meaning a larger portion of a tenant's rent can be used to calculate their tax relief. Furthermore, instead of a deduction from gross income, tenants will now receive a refundable gross income tax credit of up to $15,000 based on this "rent constituting property taxes," which can reduce their tax burden and potentially result in a refund if the credit exceeds their tax liability.

Committee Categories

Budget and Finance

Sponsors (1)

Vince Polistina (R)*,

Last Action

Introduced in the Senate, Referred to Senate Budget and Appropriations Committee (on 01/13/2026)

Official Document

https://www.njleg.state.nj.us/bill-search/2026/S2025

(3 Companion Bills)

Version:

Document Type	Source Location
State Bill Page	https://www.njleg.state.nj.us/bill-search/2026/S2025
BillText	https://pub.njleg.gov/Bills/2026/S2500/2025_I1.HTM

Bill	Bill Name	Last Action	Type
A1358	Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.	Introduced, Referred to Assembly Housing Committee	Carry Over
A2680	Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.	Introduced, Referred to Assembly Housing Committee	Same As
S182	Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.	Introduced in the Senate, Referred to Senate Budget and Appropriations Committee	Carry Over

Bill > S2025

summary

Introduced Session

Bill Summary

AI Summary

Committee Categories

Sponsors (1)

Last Action

Official Document

bill text

bill summary

bill summary

bill summary