NJ A4411

Increases the interest rate on overdue tax refunds from the prime rate to three percentage points above the prime rate, effective July 1, 2026

Equalizes the interest rate paid on tax refunds with the rate charged on tax deficiencies, which is currently set at prime rate plus three percentage points

Applies to overpayments under both the State Uniform Tax Procedure Law and the New Jersey Gross Income Tax Act

Maintains existing rules that no interest is paid on overpayments under $1.00 or refunds issued within six months of filing

Grants the Director of the Division of Taxation emergency regulatory authority to implement the changes for up to 180 days