BENEFITS UNDER THE PENSION
THE STATE HEALTH BENEFITS PROGRAM,
THE SCHOOL EMPLOYEES' HEALTH BENEFITS PROGRAM
103, P.L. 2006, the Civil
Union Law, establishes civil unions for same-sex couples in
the State of New Jersey. The law also extends public pension,
State Health Benefits Program (SHBP), and School Employees'
Health Benefits Program (SEHBP) benefits to same-sex civil
union partners of State employees, Local Government and Educational
employees, and retirees of these employers in the same manner
as those benefits are available to an employee's or retiree's
spouse. This law became effective on February 19, 2007.
Effect on Domestic
While the Civil Union Law created a new status for same-sex
couples within the State of New Jersey, the law is not intended
to replace or terminate existing same-sex domestic partnership
relationships established under the Domestic
Partnership Act (Chapter 246, P.L. 2003).
TAXATION OF CIVIL
UNION PARTNER BENEFITS
The Federal Government
and the Internal Revenue Service (IRS) do not recognize a
civil union partner as a dependent for tax purposes. Therefore,
your employer may have to treat a civil union partner's health
benefit as a taxable fringe benefit and withhold federal income,
Social Security, and Medicare taxes on the value of the premiums
If a civil union partner can meet the Internal
Revenue Service's definition of a dependent for tax
purposes (Section 152 of the Internal Revenue Code), the
employer/Division does not have to treat the civil union partner
coverage as a taxable benefit. The requirements
for dependent status are not easily met and are
strictly enforced by the IRS.
See Internal Revenue Service Publication 503 -
Child and Dependent Care Expenses, for additional
information on dependent status for federal tax purposes.
The forms below can be used to verify the federal
"tax dependent" status of civil union partners with your employer or the Division of Pensions and Benefits.