Here's how to apply so you don't miss out on thousands in potential tax breaks in New Jersey
You could be leaving thousands of dollars in tax breaks on the table if you live in New Jersey, including an opportunity to cut your property tax bill in half, but your time to apply is running out.
New Jersey consistently has one of the highest effective property tax rates in the country. A recent AARP report reveals 41% of those age 50 and older living in New Jersey have considered leaving the state, while 83% say they'd make the move in pursuit of lower state taxes and cost of living.
State Assemblyman Cody Miller, D-Gloucester, says he hopes new and existing tax relief programs will help make living in the state more manageable.
"We know how unaffordable it is to live in the state of New Jersey," Miller said. "When we talk about utility costs that are through the roof, property taxes, grocery prices that are going up right now, that's why we committed to funding these in the state budget."
Stay NJ
This year, the state launched Stay NJ, which could potentially cut property tax bills in half for eligible homeowners. Residents age 65 and older, or who are on disability, and who make less than $500,000 can apply.
Eligible residents can get reimbursed up to 50% on their property tax bill, up to $13,000. That comes out to $6,500 in potential tax rebates. Miller said the average property tax bill in New Jersey is roughly $10,000.
"Seniors are on fixed incomes, especially when they retire. Some of them do not see cost-of-living increases, and this program was instituted to ensure that we are keeping our senior citizens in the state of New Jersey and making sure that they're able to afford to live here," Miller said.
The new program is in addition to two existing tax relief programs, the ANCHOR program and the so-called Senior Freeze. Seniors can apply to all three using a single form known as a PAS-1.
The deadline to apply is Oct. 31.
Senior Freeze
Eligible homeowners 65 and older, or who are receiving Social Security disability payments, can lock their property tax at the rate in the year they enroll for the Senior Freeze. Under the program, you then get reimbursed for the difference when your property taxes increase.
Qualified homeowners must have lived in their home since Dec. 31, 2020, and made less than $168,268 in 2024.
The deadline to apply is Oct. 31.
ANCHOR Program
The Affordable New Jersey Communities for Homeowners and Renters program, or ANCHOR, is open to homeowners and renters regardless of age. You can qualify for a tax rebate of up to $1,500.
Eligible residents cannot make more than $150,000.
Most taxpayers who applied for ANCHOR last filing season were automatically enrolled for this year, according to Miller, who said the rebate payment is typically received within 90 days of your application.
The deadline to apply is Oct. 31.
"We want to make sure that you are getting the benefits that you are entitled to," Miller said. "You need to file because there are so many people that we talk to that still don't know that these programs exist."
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