Bill

Bill > S2428


NJ S2428

NJ S2428
Indexes amount of veterans' income tax exemption for inflation.


summary

Introduced
01/13/2026
In Committee
01/13/2026
Crossed Over
Passed
Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill would index the amount of the veterans' gross income tax exemption, which is currently $6,000, for inflation. The bill would require that, beginning in tax year 2023, the amount of the exemption would be adjusted annually based on the percentage change in the Chained Consumer Price Index for all Urban Consumers (C-CPI-U) for the 12-month period ending August 31 of the previous tax year. The C-CPI-U is the index currently used by the federal government to adjust federal income tax brackets for inflation. If there is no increase in that index, the amount of the exemption would remain unchanged for the applicable tax year.

AI Summary

This bill would adjust the amount of the veterans' income tax exemption for inflation, meaning the exemption amount will increase over time to keep pace with rising costs. Currently, veterans can deduct $6,000 from their gross income. Starting with the 2023 tax year, this $6,000 amount will be automatically increased each year based on the percentage change in the Chained Consumer Price Index for all Urban Consumers (C-CPI-U), which is a measure of inflation used by the federal government to adjust tax brackets. If the C-CPI-U doesn't increase, the exemption amount will stay the same for that year.

Committee Categories

Military Affairs and Security

Sponsors (4)

Last Action

Introduced in the Senate, Referred to Senate Military and Veterans' Affairs Committee (on 01/13/2026)

bill text


bill summary

Loading...

bill summary

Loading...

bill summary

Loading...