New Jersey bill A1850 sets a flat 5.9% gross income tax rate for income over $37,500 or $75,000, depending on filing status.
The bill revises New Jersey's gross income tax rates, establishing a flat 5.9% tax for all taxable income over $37,500 for unmarried individuals, married individuals filing separately, or estates and trusts; and over $75,000 for married individuals filing jointly, individuals filing as head of household, or individuals filing as a surviving spouse for federal income tax purposes. Taxpayers with income below their applicable threshold would not be subject to tax. The bill applies to taxable years beginning on or after January 1, 2026.
Included in complete analysis
- Overview
- Core Provisions
- Implementation
- Impact
- Legal Framework
- Critical Issues
See what it does, who it affects, and the critical issues in plain language. Free, 30 seconds.