Bill Text: NJ S3323 | 2016-2017 | Regular Session | Introduced
Bill Title: Eliminates veterans' gross income tax deduction requirement that New Jersey National Guard member serve in federal active duty status.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2017-06-19 - Introduced in the Senate, Referred to Senate Military and Veterans' Affairs Committee [S3323 Detail]
Download: New_Jersey-2016-S3323-Introduced.html
Sponsored by:
Senator NILSA CRUZ-PEREZ
District 5 (Camden and Gloucester)
SYNOPSIS
Eliminates veterans' gross income tax deduction requirement that New Jersey National Guard member serve in federal active duty status.
CURRENT VERSION OF TEXT
As introduced.
An Act eliminating the veterans' gross income tax deduction requirement that a New Jersey National Guard member serve in federal active duty status, and amending N.J.S.54A:3-1.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. N.J.S.54A:3-1 is amended to reads as follows:
54A:3-1. Personal exemptions and deductions. Each taxpayer shall be allowed personal exemptions and deductions against his gross income as follows:
(a) Taxpayer. Each taxpayer shall be allowed a personal exemption of $1,000.00 which may be taken as a deduction from his New Jersey gross income.
(b) Additional exemptions. In addition to the personal exemptions allowed in (a), the following additional personal exemptions shall be allowed as a deduction from gross income:
1. For the taxpayer's spouse, or domestic partner as defined in section 3 of P.L.2003, c.246 (C.26:8A-3), who does not file separately - $1,000.00.
2. For each dependent who qualifies as a dependent of the taxpayer during the taxable year for federal income tax purposes - $1,500.00.
3. Taxpayer 65 years of age or over at the close of the taxable year - $1,000.00.
4. Taxpayer's spouse 65 years of age or over at the close of the taxable year - $1,000.00.
5. Blind or disabled taxpayer - $1,000.00.
6. Blind or disabled spouse - $1,000.00.
7. Taxpayer who is a veteran honorably discharged or released under honorable circumstances from active duty in the Armed Forces of the United States, a reserve component thereof, or the National Guard of New Jersey [in a federal active duty status], as those terms are used in N.J.S.38A:1-1 - $3,000.
(c) Special Rule. The personal exemptions allowed under this section shall be limited to that percentage which the total number of months within a taxpayer's taxable year under this act bears to 12. For this purpose 15 days or more shall constitute a month.
(d) (Deleted by amendment, P.L.1993, c.178).
(e) Nonresidents. For taxable years to which a certification pursuant to section 3 of P.L.1993, c.320 (C.54A:2-1.2) applies, a nonresident taxpayer shall be allowed the same deduction for personal exemptions as a resident taxpayer. However, if (1) the nonresident taxpayer's gross income which is subject to tax under this act is exceeded by (2) the gross income which the nonresident taxpayer would be required to report under this act if the taxpayer were a resident by more than $100.00, the taxpayer's deduction for personal exemptions shall be limited by the percentage which (1) is to (2).
(cf: P.L.2016, c.57, s.8)
2. This act shall take effect immediately and apply to taxable years beginning on or after January 1 next following the date of enactment.
STATEMENT
This bill eliminates the requirement that a New Jersey National Guard member serve in federal active duty status in order to qualify for the veterans' gross income tax deduction.
A member of the New Jersey National Guard, who has been honorably discharged or otherwise been released under honorable circumstances, may claim a gross income tax deduction of $3,000 per taxable year. Under this bill, this veterans' gross income tax deduction is available regardless of whether the servicemember claiming the deduction was, at any point, called up for federal active duty status (meaning military service under the jurisdiction of the United States Secretary of Defense pursuant to 10 U.S.C. s.1209).
This bill honors the service of the men and woman who enlist in the New Jersey National Guard. These servicemembers, as with all members of our armed forces, dedicate their time, make personal sacrifices, and incur costs for the benefit of the State and its residents. Accordingly, these servicemembers deserve the same honor, recognition, and tax relief already afforded under State law to veterans of other military branches.
