This bill proposes a gross income tax deduction for resident taxpayers in New Jersey who incur costs for purchasing and installing a whole house backup electrical generator at their primary residence. The deduction applies to the amount paid during the taxable year for the generator, which must be a natural gas or liquid propane fuel-powered unit that is permanently connected to the electrical system of a one or two-family home. To qualify for the deduction, the generator must also be installed, inspected, located, and permitted in accordance with applicable state and local laws and regulations.

The intent of this legislation is to encourage homeowners to invest in backup power solutions, thereby reducing their reliance on vulnerable electricity supply grids that can be disrupted by extreme weather or other emergencies. By ensuring that essential electrical devices remain operational during power outages, the bill aims to enhance safety for residents who depend on medical equipment and to prevent potential property damage from issues like flooding due to inoperable sump pumps. The bill is set to take effect immediately upon enactment.