ASSEMBLY MILITARY AND VETERANS' AFFAIRS COMMITTEE

STATEMENT TO

SENATE COMMITTEE SUBSTITUTE FOR

SENATE, Nos. 129 and 1025

STATE OF NEW JERSEY

DATED:  JUNE 10, 2019

      The Assembly Military and Veterans Affairs Committee reports favorably Senate Committee Substitute for Senate Bill Nos. 129 and 1025.

      This committee substitute excludes military pay for service in a combat zone or for hospitalization as the result of injury while serving in a combat zone from taxable gross income under the New Jersey gross income tax. A combat zone is any area the President of the United States designates by Executive Order as an area in which the U.S. Armed Forces are engaging or have engaged in combat. An area usually becomes a combat zone and ceases to be a combat zone on the dates the President designates by Executive Order.

      This committee substitute also allows an exclusion for certain military compensation from the gross income tax for those servicemen and women domiciled in New Jersey but serving their duty outside of the State of New Jersey.