Bill > S138

Introduced Session

This bill provides a gross income tax deduction to an eligible taxpayer classified as self-employed, an independent contractor, or an employee. The taxpayer will be allowed to deduct home office expenses incurred by the utilization of the taxpayer's home as a principal place of business during the COVID-19 public health emergency as declared by the Governor of the State of New Jersey through Executive Order No. 103 of 2020. This bill will apply to the period of time following the Governor's Executive Order until the Governor determines that an emergency no longer exists. The bill defines a "principal place of business" as a part of a home used primarily to conduct business due to the lack of a readily available fixed location. A taxpayer may deem their home office as a "principal place of business" if they spent a significant amount of time conducting business from their home office, even if another fixed location is available to them on occasion, such as an office provided by an employer to the taxpayer which can only be accessed on a limited basis. The taxpayer will be allowed to deduct expenses incurred by the operation of a home office. The bill defines "expenses" as self-purchased supplies and equipment, including those unreimbursed by a taxpayer's employer, necessary to operate a home office.

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Jim Holzapfel (R)*, 

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

Official Document