This bill amends the Corporation Business Tax Act and the New Jersey Gross Income Tax Act to allow taxpayers to depreciate a percentage of eligible property expenditures related to affordable housing developments over a 10-year period. The percentage is calculated using a specific formula that considers the number of affordable housing units in relation to the total number of housing units in the development. The bill defines "affordable housing" as housing for households with incomes no greater than 80 percent of the regional median income and outlines the criteria for what constitutes an "affordable housing development."

Additionally, the bill specifies that eligible property expenditures are capital expenditures incurred in the construction of new affordable housing developments owned by the taxpayer. It also clarifies that the provisions apply to developments for which construction begins on or after the effective date of the bill and that do not receive tax abatements or affordable housing subsidies. The act is set to take effect immediately and will apply to eligible property expenditures for developments placed in service starting January 1, 2025.