This bill amends the "Five-Year Exemption and Abatement Law" to increase the statutory property tax exemption amounts for improvements made to dwelling units that are over 20 years old. Specifically, it revises Section 5 of P.L.1991, c.441 (C.40A:21-5) to state that municipalities may exempt the first $15,000, $45,000, or $75,000 of the assessed value of improvements, as specified in the ordinance, from increasing the property's taxable value for a period of five years. This change replaces the previous exemption amounts of $5,000, $15,000, or $25,000.

Additionally, the bill clarifies that the exemption applies to improvements made to multiple dwelling units, which were previously excluded. The legislation also maintains provisions for abatements on the assessed value of properties receiving exemptions, allowing for a total abatement period of up to five years, with annual abatement amounts not exceeding 30% of the exemption granted. The bill is set to take effect immediately and will apply to exemptions and abatements granted starting January 1 of the first full tax year following its enactment.

Statutes affected:
Introduced: 40A:21-5