Excludable Pensions, Annuities and IRA Withdrawals (Line 19b)
A new line has been added to the resident return, Form NJ-1040, on which you must report the excludable portion of any distribution from a pension, annuity, or IRA to which you made contributions.
The Girl Scouts Councils in New Jersey Fund has been added to the list of organizations to which you can contribute on the New Jersey tax return. To donate to the new fund, you must specify code number “16” at the “Other Designated Contribution” line.
Change of Address
A change-of-address indicator has been added to all New Jersey income tax returns. Mark the indicator if your address has changed since you last filed a New Jersey return or if any of the address information on your label is incorrect. Enter the current (or corrected) address information on the return.
Check Amount Boxes
A new check amount field has been added to all New Jersey income tax returns. If you owe tax and are enclosing a check or money order with your return, you must enter the amount of your payment in the boxes on the first page of the return. If you are paying by credit card or e-check, you should leave these boxes blank.
Credit for Excess UI/WF/SWF; DI; FLI Withheld
For 2013, the maximum employee unemployment insurance/workforce development partnership fund/supplemental workforce fund contribution was $131.33, the maximum employee disability insurance contribution was $111.24, and the maximum employee family leave insurance contribution was $30.90. If you had two or more employers, you may have contributed more than the maximum amount(s). You must complete Form NJ-2450 to claim credit on your New Jersey tax return for the excess withheld.
Credit for Taxes Paid to Other Jurisdictions
The Philadelphia nonresident wage tax rate for 2013 was 3.4985% (.034985) from January 1 to June 30, 2013, and 3.495% (.03495) from July 1 to December 31, 2013.
Alternative Business Calculation Adjustment
If you have losses in certain business-related categories of income, you may be able to use those losses to calculate an adjustment to your taxable income. In addition, you can carry forward unused losses in those categories for 20 years to calculate future adjustments. For tax year 2013, the percentage used to calculate the Alternative Business Calculation Adjustment on Schedule NJ-BUS-2 is 20 percent, up from 10 percent in tax year 2012. The percentage is being phased in over a five-year period and will reach a maximum of 50 percent for tax year 2016 and after.
E-Filing Requirement for Practitioners
Preparers that reasonably expect to prepare 11 or more individual gross income tax resident returns (including those filed for trusts and estates) during the tax year must use electronic methods to file those returns for which an electronic filing option is available. A tax preparer is liable for a penalty of $50 for each return he or she fails to file electronically when required to do so.
Printing and Mailing of Forms NJ-1041 and NJ-1065 Discontinued
With the continued growth of electronic filing and to help reduce costs, the Division of Taxation will no longer print and mail instruction booklets and forms for either the New Jersey Gross Income Tax Fiduciary Return, Form NJ-1041, or the New Jersey Partnership Return, Form NJ-1065. All forms and publications are available on the Division’s website.
Due to privacy and security concerns, the Division of Taxation will no longer address specific tax account concerns through email. You can email general State tax questions to us; however, you should not include confidential information such as social security or Federal tax identification numbers, liability or payment amounts, dates of birth, or bank account numbers. The Division will not provide any information about the status of your income tax refund, homestead benefit, or property tax reimbursement by email. For answers to confidential questions, including specific account information or changes to your account, call 609-292-6400, write to the New Jersey Division of Taxation at PO Box 281, Trenton, NJ 08695-0281, or visit one of the Division’s regional offices and speak to a representative in person.
The Division of Taxation has introduced a new form, the Identity Theft Declaration, Form IDT-100, for taxpayers who suspect that their identity has been used fraudulently or who believe they are at risk due to a lost or stolen wallet or questionable credit card activity or credit report. Once an affected taxpayer files Form IDT-100, the Division of Taxation can take immediate steps to mark the tax account and identify any questionable activity. This form is available on the Division’s website.
Homestead Benefit Program
Homeowners. New Jersey residents who owned and occupied a home in New Jersey that was their principal residence on October 1, 2013, may be eligible for a homestead benefit provided the 2013 property taxes were paid and they meet certain income limits. The homestead benefit application for homeowners is not included in the NJ-1040 booklet.
Tenants. There is no tenant rebate application for 2013.
Note: Eligibility requirements, including income limits, and benefits available under this program are subject to change.
Property Tax Reimbursement (Senior Freeze)
The Senior Freeze (Property Tax Reimbursement) Program reimburses eligible senior citizens or disabled persons for property tax increases. Eligible residents must file a 2013 Property Tax Reimbursement Application (Form PTR-1 or PTR-2).
Income Limits. With very few exceptions, all income received during the year, including income which is not required to be reported on Form NJ-1040, must be taken into account to determine eligibility for the property tax reimbursement. The limits apply regardless of marital/civil union status. However, if an applicant’s status is married/CU couple, combined income of both spouses/CU partners must be reported.