This bill amends N.J.S.54A:6-7 to provide a gross income tax exclusion for military compensation received by New Jersey residents who are stationed or deployed outside of the state for at least six months during the taxable year. Specifically, it clarifies that compensation paid by the United States for military service is excluded from gross income if the individual is either not domiciled in New Jersey or is a resident who has been stationed or deployed outside the state for the specified duration.

The bill aims to support New Jersey residents serving in the Armed Forces by ensuring that their out-of-state military compensation is not subject to state income tax, thereby providing financial relief to service members and their families. The act is set to take effect immediately and will apply to taxable years beginning on or after the date of enactment.