Provides spouses of military servicemembers with gross income tax credit, up to $500, for professional relicensing fees incurred upon relocating to State.
Summary
Assembly Bill 4453 creates a refundable New Jersey gross income tax credit for certain spouses of active-duty military servicemembers who relocate to the state under a permanent change of station order. The credit equals qualified professional relicensing fees paid by the spouse in the taxable year, up to a maximum of $500. It applies only to fees for a profession the spouse previously practiced and that requires a New Jersey professional or occupational license or certification.
The bill limits eligible expenses to those incurred beginning on the date the military order is issued and ending on the first day of the thirteenth month after the reporting date in the order. It also directs the Division of Taxation to create procedures and forms for taxpayers to certify eligibility. The act would take effect immediately and apply to qualifying relicensing costs incurred on or after enactment.
Impact
The bill would amend and supplement the New Jersey Gross Income Tax Act by adding a new refundable credit for eligible military spouses. If enacted, it would reduce gross income tax liability for qualifying taxpayers and, where the credit exceeds tax due, treat the excess as an overpayment subject to refund rules. The Division of Taxation would need to establish administrative guidance, certification procedures, and forms to implement the credit.
Sentiment
No committee transcripts or recorded votes were provided, so there is no direct evidence of debate or opposition in the available materials. Based on the bill text and sponsor statement, the measure appears to be framed positively as a support for military families and professional continuity for relocating spouses. The overall tone is remedial and assistance-oriented rather than controversial.
Contention
The main policy questions suggested by the bill are the cost to the state treasury, the narrowness of the benefit, and how eligibility would be verified. The credit is capped at $500 and limited to spouses of servicemembers relocating under permanent change of station orders, which may prompt discussion about whether the amount is sufficient and whether other relocating professionals should receive similar relief. Administrative concerns may also arise over documenting prior practice, qualifying licenses, and the timing of incurred fees.
Same As
Provides spouses of military servicemembers with gross income tax credit, up to $500, for professional relicensing fees incurred upon relocating to State.
Carry Over
Provides spouses of military servicemembers with gross income tax credit, up to $500, for professional relicensing fees incurred upon relocating to State.