A5514

New Jersey bill allows tax deduction for employment-related childcare expenses.

This bill allows taxpayers to deduct employment-related childcare expenses from their gross income tax. The deduction applies to expenses for dependent care services for children under 13 years old. The deduction cannot be claimed for expenses that are also claimed as a federal dependent care credit. The deduction is available to taxpayers with New Jersey taxable income of $150,000 or less. The bill amends the "New Jersey Gross Income Tax Act" to include this new deduction.