SENATE, No. 1648

 

STATE OF NEW JERSEY

 

INTRODUCED OCTOBER 28, 1996

 

 

By Senators CARDINALE, SCOTT, Bassano, Connors, McNamara, Bubba, Lesniak, Casey, Baer, Bryant, Singer, Rice, Haines, Kenny, O'Connor, Girgenti, Kyrillos, Ewing, Cafiero, Kosco, Inverso, Adler, Lipman, Codey, Ciesla, Matheussen, Martin, LaRossa and Sacco

 

 

An Act concerning certain deductions from the taxes against the real property of certain senior citizens and disabled residents of this State, and amending P.L.1963, c.172.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. Section 2 of P.L.1963, c.172 (C.54:4-8.41) is amended to read as follows:

    2. Every person, a citizen and resident of this State of the age of 65 or more years, or less than 65 years of age who is permanently and totally disabled, having an annual income not in excess of the limitations provided in this section and residing in a dwelling house owned by him which is a constituent part of his real property or residing in a dwelling house owned by him which is assessed as real property but which is situated on land owned by another or others, or residing as a tenant shareholder in a cooperative or mutual housing corporation, shall be entitled, annually, on proper claim being made therefor, to a deduction against the tax or taxes assessed against such real property, to an amount not exceeding the amount of said tax, the proportionate share of said tax attributable to his unit, or the sum provided in this section, whichever is the lesser, but no such deduction from taxes shall be in addition to any other deduction or exemption from taxes to which said person may be entitled, except a veteran's deduction provided under P.L.1963, c.171 (C.54:4-8.10 et seq.). A citizen and resident granted a deduction pursuant to this section may receive in addition any homestead rebate or credit provided by law.

      For the purposes of this section, the annual income limitation shall be: $5,000.00 for any year prior to 1981; $8,000.00 for the year 1981; $9,000.00 for the year 1982; [and] $10,000.00 for [year] the years 1983 through 1997; and $18,500.00 for the year 1998 and each year thereafter.

    The sum deducted pursuant to this section shall not exceed: in any year prior to 1981, $160.00; in the year 1981, $200.00; in the year 1982, $225.00; and in the year 1983 and in each year thereafter, $250.00.

    For the purposes of this act:

    a. The income of a married person shall be deemed to include an amount equal to the income of the spouse during the applicable income year, except for such portion of that year as the two were living apart in a state of separation, whether under judicial decree or otherwise.

    b. The requirement of ownership shall be satisfied by the holding of a beneficial interest in the dwelling house where legal title thereto is held by another who retains a security interest in the dwelling house.

(cf: P.L.1989, c.252, s.2.)

 

    2. This act shall take effect on the January 1 next following the approval by the people of the State of New Jersey of an amendment to Article VIII, Section 1, paragraph 4 of the Constitution of the State of New Jersey, as proposed and agreed to by the Legislature in Senate Concurrent Resolution of 1996.

 

STATEMENT

 

    This bill proposes to increase from $10,000 to $18,500 per year the annual income limitation for eligibility to receive the annual $250 property tax deduction for certain senior and disabled citizens and residents beginning in 1998.

 

 

                             

Increases annual income limitation for property tax deduction for certain senior citizens and disabled residents.