Bill Text: NJ A2043 | 2022-2023 | Regular Session | Amended
Bill Title: "New Jersey Disability Savings Act."
Spectrum: Slight Partisan Bill (Democrat 9-3)
Status: (Engrossed - Dead) 2022-05-12 - Referred to Senate Budget and Appropriations Committee [A2043 Detail]
Download: New_Jersey-2022-A2043-Amended.html
[Third Reprint]
ASSEMBLY, No. 2043
STATE OF NEW JERSEY
220th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2022 SESSION
Sponsored by:
Assemblyman DANIEL R. BENSON
District 14 (Mercer and Middlesex)
Assemblywoman ANGELA V. MCKNIGHT
District 31 (Hudson)
Assemblyman RAJ MUKHERJI
District 33 (Hudson)
Co-Sponsored by:
Assemblywomen Murphy, Swift, Assemblyman Freiman, Assemblywomen Piperno, Eulner, Lopez, Assemblymen Calabrese, McKeon and Assemblywoman Park
SYNOPSIS
"New Jersey Disability Savings Act."
CURRENT VERSION OF TEXT
As reported by the Senate Health, Human Services and Senior Citizens Committee on May 12, 2022, with amendments.
An Act concerning tax deductions for certain disability expenses and supplementing Title 52 3[and Title 54A]3 of the 3[New Jersey] Revised3 Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. This act shall be known and may be cited as the "New Jersey Disability Savings Act."
2. As used in this act:
"Department" means the Department of Human Services.
"New Jersey ABLE account" means an account established pursuant to P.L.2015, c.185 (C.52:18A-250 et al.).
"Qualifying state ABLE account" means an account established pursuant to any qualified state ABLE program, pursuant to section 529A of the federal Internal Revenue Code of 1986, 26 U.S.C. s.529A.
3. a. Subject to the availability of State appropriations, a New Jersey ABLE account or a qualifying state ABLE account, when initially opened by a taxpayer with a gross income of 1[$200,000] $150,0001 or less, shall be eligible for a one-time grant of up to 1[$1,000] $7501 in a dollar-for-dollar match of the initial deposit to the account.
b. 1[A taxpayer who owns a New Jersey ABLE account or a qualifying state ABLE account shall be eligible for a one-time grant, in the amount of $500, subject to the availability of State appropriations, for every $25,000 in incremental savings accrued in the taxpayer's account.]1 For the purposes of this section, the department shall develop a methodology by which the department shall ensure that duplicate grants are not issued to a taxpayer for the same pool of savings in a New Jersey ABLE account or a qualifying state ABLE account.
c. If the annual State Appropriations Act does not include sufficient funding for the department to issue the grants in the amounts specified under this section, the department shall determine the methodology for allocating the available funding, which may include, but shall not be limited to, reducing the amount of the grant award for individual taxpayers.
d. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the department may adopt, immediately upon filing with the Office of Administrative Law, rules that the 2[authority] department2 deems necessary for the appropriate administration and implementation of the provisions of this section, including a minimum length of time for participation in the New Jersey ABLE program or other qualifying state ABLE program for the credits established pursuant to this section, which rules shall be effective for a period not to exceed 365 days from the date of filing. The department shall thereafter amend, adopt, or readopt the rules in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
4. A taxpayer shall be allowed a deduction from the taxpayer's gross income for the taxable year in the amount of the taxpayer's contribution for the taxable year to a New Jersey ABLE account or qualifying state ABLE account.
5. This act shall take effect immediately.
