New Jersey S394 removes income-based limitations on the gross income tax exclusion for pension and retirement income.

New Jersey S394 removes income-based limitations on the gross income tax exclusion for pension and retirement income. This bill allows taxpayers with pension and retirement income to exclude more of their income from taxable gross income by eliminating the income cap and the reduced exclusion for those with between $100,000 and $150,000 of income. This change means that taxpayers of any income level, who are otherwise eligible, may claim the exclusion. The bill applies to taxable years beginning on or after January 1, 2021, but before January 1, 2022.

New Jersey S394 removes income-based limitations on the gross income tax exclusion for pension and retirement income.

New Jersey S394 removes income-based limitations on the gross income tax exclusion for pension and retirement income. This bill allows taxpayers with pension and retirement income to exclude more of their income from taxable gross income by eliminating the income cap and the reduced exclusion for those with between $100,000 and $150,000 of income. This change means that taxpayers of any income level, who are otherwise eligible, may claim the exclusion. The bill applies to taxable years beginning on or after January 1, 2021, but before January 1, 2022.