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NJ S4930

Bill

Status

Introduced

12/4/2025

Primary Sponsor

Carmen Amato

Click for details

Origin

Senate

2024-2025 Regular Session

AI Summary

  • Establishes a flat 5.9% gross income tax rate beginning January 1, 2026, replacing the current progressive bracket system with rates ranging from 1.4% to 10.75%

  • Applies the 5.9% rate only to taxable income exceeding $75,000 for married joint filers, heads of household, and surviving spouses

  • Applies the 5.9% rate only to taxable income exceeding $37,500 for single filers, married individuals filing separately, and estates/trusts

  • Exempts taxpayers entirely from gross income tax if their income falls below the applicable threshold ($37,500 or $75,000 depending on filing status)

  • Raises the current tax-free income threshold from $10,000 to $37,500 for single/separate filers and from $20,000 to $75,000 for joint filers

Legislative Description

Sets flat gross income tax rate at 5.9 percent tax for all taxable income over $37,500 or $75,000, depending on filing status; exempts taxpayers with less income from gross income tax.

Budget and Appropriations

Last Action

Introduced in the Senate, Referred to Senate Budget and Appropriations Committee

12/4/2025

Committee Referrals

Budget and Appropriations12/4/2025

Full Bill Text

No bill text available