NJ S3689

Removes the $150,000 gross income cap for New Jersey's pension and retirement income tax exclusion, allowing taxpayers with incomes exceeding $150,000 to qualify for the benefit.

Increases the maximum exclusion to $150,000 of pension and retirement income, plus 50% of payments between $150,000 and $300,000, with no exclusion available for income above $300,000.

Applies to taxpayers who are 62 years or older, or who are eligible for disability payments under federal Social Security.

Current law limits the full exclusion to taxpayers with gross income of $100,000 or less (up to $100,000 exclusion for married filing jointly), with reduced partial exclusions phasing out at $150,000 income.

Takes effect immediately upon enactment, applying to taxable years beginning on or after the January 1 following the bill's passage.