NJ A4122

Creates a refundable New Jersey gross income tax credit equal to 50% of extra principal payments made on a primary residence mortgage, up to $1,000 annually

Applies to traditional mortgages with 15-30 year terms on principal residences, including refinanced mortgages that don't exceed the original loan amount

Credit phases out for single filers with taxable income between $125,000-$135,000 and joint filers between $250,000-$270,000; no credit above those thresholds

Taxpayers may claim the credit for a maximum of 10 taxable years; married couples must file jointly to qualify

Takes effect for taxable years beginning January 1 following enactment