A5121

Increases gross income tax rates for taxpayers with taxable income exceeding $2,000,000.

Introduced·5/18/26

New Jersey bill A5121 increases gross income tax rates for taxpayers with income over $2 million.

New Jersey bill A5121 proposes to increase the gross income tax rates for taxpayers with taxable income exceeding $2 million. The bill introduces graduated tax rates, with a rate of 12% for income over $2 million but not over $5 million, 13% for income over $5 million but not over $10 million, and 14% for income over $10 million. These tax rate increases would take effect for taxable years beginning on and after January 1, 2027. The bill also includes provisions for tax withholding and modifications to existing tax laws.

Included in complete analysis

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

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Where it stands

Current
State and Local Government Committee
Next
Committee decision

Sponsors

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6
0
Democratic CaucusRepublican Caucus

History

May 18

Assembly

Introduced, Referred to Assembly State and Local Government Committee