New Jersey Assembly Bill A2998

New Jersey 2022-2023 Regular Session

• Introduced: 2/28/22
• Refer: 2/28/22

Caption

Establishes disabled veteran tenant gross income tax credit.

Impact

If enacted, A2998 would amend existing tax regulations within New Jersey by adding this specific credit for disabled veterans, thereby reinforcing state support for veterans living with disabilities. The tax modification applies to those who meet the criteria of being classified as a 'disabled veteran' as defined in state law, tying eligibility directly to their military service and affiliated disabilities. The credit aims to serve as financial relief in light of the often high costs associated with housing, particularly for individuals who may require additional support.

Summary

A2998 is a bill designed to establish a nonrefundable tax credit for disabled veteran tenants in New Jersey. The bill allows eligible disabled veterans residing in rental properties to claim a credit against their gross income tax for the portion of their rent attributed to property taxes. This credit can amount to a maximum of $1,000 for the taxable year and aims to alleviate some financial burdens on disabled veterans by recognizing their contributions and sacrifices. The bill provides specific guidelines on how the credit can be claimed, including provisions for married couples filing separately and for roommates who may also occupy the rental unit.

Contention

Discussions surrounding A2998 may arise from varying opinions about the implications of tax credits and benefits specifically aimed at certain groups. Some stakeholders may argue that while targeted assistance for disabled veterans is essential, it could create disparities or funding challenges for other groups of residents in need. There may also be discussions on how effectively this credit would address the needs of disabled veterans compared to broader housing assistance programs. The balance between supporting veterans and ensuring equity across all demographic groups is likely to be a point of contention as the bill progresses through the legislative process.