This bill introduces a $500 gross income tax credit for taxpayers who are active volunteer firefighters. To qualify for this credit, individuals must have been active members of a volunteer fire company or part-paid fire department for the entirety of the current tax year and the two preceding years. The bill stipulates that the application of this credit will follow a priority order as determined by the director, and it cannot reduce a taxpayer's liability to below zero.

The legislation is set to take effect immediately and will apply to taxable years starting on or after January 1 of the year following its enactment. This initiative aims to recognize and support the contributions of volunteer firefighters in New Jersey by providing them with a financial incentive through the gross income tax system.