This bill amends the New Jersey child tax credit eligibility to include resident taxpayers with children aged six to eleven. Currently, the credit is available only for children under the age of six. The proposed change specifies that the credit will be applicable for each child who has not yet turned twelve by the end of the taxable year, thereby expanding the age range for which taxpayers can claim the credit. The income threshold for eligibility remains at $80,000 or less, with the credit amount decreasing incrementally based on income levels, starting from $1,000 for those earning $30,000 or less.

The bill also maintains existing provisions regarding the credit's treatment as a refundable overpayment if it exceeds the tax due, the requirement for married taxpayers to file jointly (with exceptions), and the pro-rating of the credit for part-year residents. Additionally, it ensures that the tax credit will not be counted as income for determining eligibility for state benefits. The changes will take effect immediately and apply to taxable years beginning on or after January 1, 2026.

Statutes affected:
Introduced: 54A:4-17.1