Assemblywoman ANNETTE QUIJANO
District 20 (Union)
Assemblyman WAYNE P. DEANGELO
District 14 (Mercer and Middlesex)
Assemblywoman CAROL A. MURPHY
District 7 (Burlington)
Allows gross income tax deduction for surviving spouses of certain veterans.
CURRENT VERSION OF TEXT
An Act allowing a deduction against gross income for surviving spouses of certain veterans, 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 read 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.
8. Taxpayer who is the surviving spouse of a qualifying veteran, during the surviving spouse’s widowhood or widowerhood - $3,000. For purposes of this subsection, “qualifying veteran” means an individual who:
(A) dies while on,
(B) was honorably discharged from, or
(C) was 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.
(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.
This bill provides an annual exemption under the New Jersey gross income tax, in the amount of $3,000, to a taxpayer who is the surviving spouse of a qualifying veteran of active duty military service.
Under current law, a taxpayer who is a veteran honorably discharged or released under honorable circumstances from active duty in the United States Armed Forces or a reserve component thereof, or the National Guard of New Jersey in a federal active duty status, may be eligible to receive a gross income tax exemption in the amount of $3,000 for each taxable year in which the veteran qualifies. This bill extends this veterans’ exemption to the surviving spouse of a veteran who has: (1) died while on active duty; (2) was honorably discharged from active duty; or (3) was released from active duty under honorable circumstances. If a surviving spouse remarries, he or she becomes no longer eligible to receive the exemption.
The following terms are defined elsewhere in the statutes and are incorporated by reference: “active duty” means duty in the active military service; and “armed forces” means the land, air, and sea forces established by State or federal laws, as applicable.
This bill extends the veterans’ gross income tax exemption to surviving spouses in order to acknowledge the burdens borne by the widows and widowers of our veterans. Tax relief of this nature is a means to further boost the economic security of those individuals who sacrificed to safeguard our security and freedom.