A2654

Gradually reduces CBT rate.

Introduced·1/13/26
Introduced Text

Gradually reduces the corporation business tax rate from 9 percent to 2.5 percent of income.

This bill gradually reduces the corporation business tax rate from 9 percent to 2.5 percent of income. The reduction occurs in stages: 7 percent for privilege periods ending between January 1, 2021 and December 31, 2021; 5 percent for privilege periods ending between January 1, 2022 and December 31, 2022; 3 percent for privilege periods ending between January 1, 2023 and December 31, 2023; and 2.5 percent for privilege periods ending after December 31, 2023. The bill affects corporations operating in New Jersey, impacting their tax liabilities based on their net income.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Where it stands

Current
Commerce and Economic Development Committee
Next
Committee decision

Sponsors

0
10
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Democratic CaucusRepublican Caucus

History

Jan 13

Assembly

Introduced, Referred to Assembly Commerce and Economic Development Committee