Bill
Bill > A870
NJ A870
NJ A870"Homeowners' Historic Property Reinvestment Act"; allows homeowners to claim credit against gross income tax for certain costs of rehabilitating historic properties.
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill establishes the "Homeowners' Historic Property Reinvestment Act." The bill allows homeowners to claim a refundable credit against gross income tax in an amount equal to 25 percent of the homeowner's outlay for rehabilitating a historic property in this State. The credit is capped at $25,000 per property during a ten-year period. To qualify for the credit, a property that is to be rehabilitated is required to meet certain criteria, as specified in the bill. The bill requires a homeowner seeking a tax credit under the bill to spend no more than 60 percent of the cost of rehabilitation on interior rehabilitation and to own and occupy the qualified property as the homeowner's principal residence for twelve consecutive months following the completion of the rehabilitation. The bill requires rehabilitation expenditures to be at least 50 percent of the equalized assessed value of the structure for local real estate tax purposes as indicated on the most recent property tax bill for the property prior to the start of the rehabilitation. The bill provides that the cumulative amount of tax credits approved cannot exceed $15 million. The bill requires the SHPO, in consultation with the director, to prepare and submit a written report to the Governor and the Legislature on or before December 31st of the fourth year following the bill's effective date. The reports would detail the number and total monetary amount of tax credits granted for the rehabilitation of qualified properties, the geographical distribution of the credits granted, an evaluation of the effectiveness of the tax credits in promoting the rehabilitation of historic properties, recommendations for administrative or legislative changes to increase the effectiveness of the program, and any other information that the officer or the director may deem useful or appropriate.
AI Summary
This bill, known as the "Homeowners' Historic Property Reinvestment Act," allows homeowners to claim a refundable tax credit against their gross income tax for rehabilitating historic properties in the state. The credit is equal to 25% of the homeowner's expenses for rehabilitation, with a cap of $25,000 per property over a ten-year period. To qualify, the property must be a historic resource listed on national or state registers, or designated by a municipality with criteria approved by the State Historic Preservation Officer (SHPO), and the homeowner must own and occupy it as their principal residence for at least twelve consecutive months after rehabilitation. Rehabilitation expenditures must be at least 50% of the structure's equalized assessed value for local real estate tax purposes, and no more than 60% of the rehabilitation costs can be for interior work. The total amount of tax credits approved under this act is capped at $15 million, and the SHPO, in consultation with the Director of the Division of Taxation, will report on the program's effectiveness and provide recommendations for improvement. The bill also includes provisions for recapturing tax credits if the property's historic integrity is compromised within five years of rehabilitation.
Committee Categories
Business and Industry
Sponsors (1)
Last Action
Introduced, Referred to Assembly Tourism, Gaming and the Arts Committee (on 01/13/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/A870 |
| BillText | https://pub.njleg.gov/Bills/2026/A1000/870_I1.HTM |
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