Provides gross income tax credit to certain totally and permanently disabled veterans for rent constituting property taxes.
Impact
The implementation of S2092 would mean that eligible disabled veterans can claim a refundable gross income tax credit equal to 18 percent of their rent corresponding to property taxes. This credit would be applied against their gross income tax obligations, thereby reducing their overall tax burden significantly. For veterans who are not subject to the gross income tax, a refund application process will be established to ensure that they can access their entitled credits appropriately. Additionally, the bill acknowledges the challenges faced by renting veterans and aims to alleviate financial pressures linked to housing.
Summary
Senate Bill S2092, introduced in New Jersey, aims to provide a gross income tax credit to certain totally and permanently disabled veterans to address the rental payments they make that constitute property taxes. Historically, veterans with disabilities have been eligible for property tax exemptions if they own a home, but similar relief has not been extended to disabled veterans who rent their residences. The bill seeks to create parity between those who own homes and those who pay rent, thus ensuring fair treatment for all disabled veterans in the state.
Contention
A notable point of contention surrounding the bill relates to the definitions and qualifications for what constitutes a 'disabled veteran.' The scope of disabilities that qualify for the tax credit includes various severe impairments as defined by the Veterans Administration, which some stakeholders may argue is too restrictive. This nuance becomes more critical when considering surviving spouses of disabled veterans, who may also qualify for the credit under certain conditions, raising discussions about the scope and accessibility of these benefits to families of veterans.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.
Increases amount of rental payments defined as rent constituting property taxes for purposes of deduction from gross income for property tax payments; increases property tax credit option for certain individuals.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.
Increases gross income tax relief based on rent constituting property taxes for residential tenants and establishes refundable gross income tax credit in place of gross income tax deduction for residential tenants.