Bill Text: NJ S2844 | 2018-2019 | Regular Session | Introduced
Bill Title: Establishes one-time homestead property tax credit following certain revaluation of real property.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2018-07-23 - Introduced in the Senate, Referred to Senate Budget and Appropriations Committee [S2844 Detail]
Download: New_Jersey-2018-S2844-Introduced.html
Sponsored by:
Senator BRIAN P. STACK
District 33 (Hudson)
SYNOPSIS
Establishes one-time homestead property tax credit following certain revaluation of real property.
CURRENT VERSION OF TEXT
As introduced.
An Act establishing a one-time homestead property tax credit and supplementing P.L.1990, c.61 (C.54:4-8.57 et al.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. Notwithstanding the provisions of section 3 of P.L.1990, c.61 (C.54:4-8.59) or any other law to the contrary, a taxpayer who earned income of $70,000 or less for tax year 2017 and who otherwise meets all of the qualifications of an eligible claimant, as defined by section 1 of P.L.1997, c.348 (C.54:4-8.67), and whose property taxes, after a revaluation of real property, have increased by 10 percent or more from tax year 2017 to tax year 2018 shall be allowed a homestead credit for tax year 2018 equal to 50 percent of the property tax increase resulting from the revaluation of real property in the municipality. The homestead credit provided under this section shall be allowed only against property taxes assessed by a city of the first class which implemented a municipal-wide revaluation in tax year 2018.
b. A taxpayer who was eligible for a homestead property tax reimbursement pursuant to P.L.1997, c.348 (C.54:4-8.67 et seq.) in tax year 2017 shall be allowed a homestead credit pursuant to this section without submitting the application required pursuant to section 6 of P.L.1990, c.61 (C.54:4-8.62). A taxpayer who receives a homestead credit otherwise authorized under this section in error shall be subject to the provisions of section 15 of P.L.1999, c.63 (C.54:4-8.66b).
c. In determining the amount of a homestead property tax reimbursement allowed pursuant to P.L.1997, c.348 (C.54:4-8.67 et seq.), the amount of property tax due and paid in tax year 2018 shall not include the amount of any credit actually received by an eligible claimant pursuant to this section.
d. The State Treasurer shall pay a homestead credit allowed pursuant to the section in accordance with the provisions of subsection b. of section 7 of P.L.1990, c.61 (C.54:4-8.63).
2. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the director may adopt, immediately, upon filing with the Office of Administrative Law, regulations that the director deems necessary to implement the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill), which regulations shall be effective for a period not to exceed 180 days from the date of the filing. The director may thereafter amend, adopt, or readopt the regulations in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
3. This act shall take
effect immediately.
STATEMENT
This bill establishes a one-time homestead property tax credit to address the concerns of senior citizens who experienced a significant property tax increase following a revaluation of real property in the municipality in which they reside.
The bill provides a one-time homestead credit for tax year 2018 equal to 50 percent of the property tax increase resulting from the revaluation of real property in the municipality. Under the bill, a taxpayer who earned income of $70,000 or less for tax year 2017 and who otherwise meets all of the qualifications of an eligible claimant under N.J.S.A.54:4-8.67 et seq. (commonly referred to as the "senior freeze" program) and whose property taxes have increased by 10 percent or more after a municipal-wide revaluation of real property may receive the homestead tax credit in tax year 2018. The homestead credit provided under this bill may only be awarded to offset property taxes assessed by a city of the first class, which implemented a municipal-wide revaluation in tax year 2018.
A taxpayer qualified under this bill who was eligible for a homestead property tax reimbursement in tax year 2017 will receive the homestead credit provided by this bill without having to submit an application to the Director of the Division of Taxation in the Department of the Treasury. A taxpayer who receives a homestead credit in error and fails to reimburse the Department of the Treasury within 45 days of receiving notice that such payment was erroneous will be required to pay monthly interest on the amount owed.
If a taxpayer receives a credit under the bill, any homestead property tax reimbursement for which the taxpayer is eligible will be reduced proportionally to the amount of the credit received pursuant to this bill.
