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NJ S580

Bill

Official Source

Status

Introduced

1/13/2026

Primary Sponsor

James Beach

Click for details

Origin

Senate

2026-2027 Regular Session

AI Summary

  • Creates a New Jersey gross income tax deduction for interest paid on qualified student loans, matching the federal deduction amount allowed under Internal Revenue Code Section 221
  • Maximum deduction is $2,500 per year, with the deduction phasing out for taxpayers with modified adjusted gross income exceeding $70,000 ($140,000 for joint filers)
  • Deduction is completely eliminated for taxpayers with modified adjusted gross income of $85,000 or more ($170,000 for joint filers)
  • Married taxpayers must file jointly to claim the deduction
  • Takes effect immediately and applies to taxable years beginning on or after January 1 following enactment

Legislative Description

Allows gross income tax deduction for certain student loan interest.

Higher Education

Last Action

Introduced in the Senate, Referred to Senate Higher Education Committee

1/13/2026

Committee Referrals

Higher Eduction1/13/2026

Full Bill Text

No bill text available