New Jersey 2024-2025 Regular Session

New Jersey Senate Bill S627

Introduced
1/9/24  

Caption

Excludes military compensation of military personnel serving outside of this State from gross income tax.

Impact

The implementation of S627 would significantly alter the tax liabilities of military personnel based in New Jersey but serving in other locations. By exempting their income from state gross income tax, the bill intends to ensure that service members are not taxed on income they earn while fulfilling their military duties outside of the state. This could lead to increased disposable income for servicemen and women, enabling them to better support themselves and their families during their service.

Summary

Senate Bill S627 aims to amend New Jersey's tax code by excluding military compensation for servicemen and women stationed outside the state from gross income tax. The bill specifically addresses compensation paid by the United States for services rendered by military personnel who are either not domiciled in New Jersey or are New Jersey residents serving outside of the state. This legislative change seeks to provide financial relief to active duty service members, recognizing the additional burdens they face while serving away from home.

Contention

While the bill presents potential benefits for military personnel, there may be some discussions surrounding the implications of such tax exemptions on state revenue. Critics may argue that this change could reduce tax income from a segment of the population that contributes significantly to community and state finances. Furthermore, concerns may be raised regarding the fairness of tax policies that favor certain groups over others, thus prompting debates regarding equity in the tax system.

Companion Bills

NJ A2703

Same As Excludes military compensation of military personnel serving outside of this State from gross income tax.

NJ A314

Carry Over Excludes military compensation of military personnel serving outside of this State from gross income tax.

NJ S2686

Carry Over Excludes military compensation of military personnel serving outside of this State from gross income tax.

Previously Filed As

NJ S2686

Excludes military compensation of military personnel serving outside of this State from gross income tax.

NJ A314

Excludes military compensation of military personnel serving outside of this State from gross income tax.

NJ A2703

Excludes military compensation of military personnel serving outside of this State from gross income tax.

NJ S3975

Provides gross income tax exclusion for military compensation paid to State residents for out-of-State military service.

NJ A5073

Provides gross income tax exclusion for military compensation paid to State residents for out-of-State military service.

NJ A4349

Excludes from New Jersey gross income tax income of certain related survivors of members of United States military who die in active duty.

NJ A4198

Excludes basic pay received for active duty military service from gross income taxation.

NJ S872

Excludes bonuses for reenlistment or voluntary extension of enlistment in armed forces from gross income.

NJ S3433

Excludes bonuses for reenlistment or voluntary extension of enlistment in armed forces from gross income.

NJ A120

Excludes bonuses for reenlistment or voluntary extension of enlistment in armed forces from gross income.

Similar Bills

No similar bills found.