Variations in Receipt of Benefit
No Variation in Receipt of Benefits
The state reimburses to the taxpayer the difference between the amount of property tax paid in the base year (i.e. first year of meeting all eligibility requirements) and the amount paid in the current year. The calculation of the reimbursement uses the gross amount of property taxes before deducting the senior citizen and/or veteran's property tax deductions for which the applicant is eligible.
How is Benefit Disbursed
Direct payment to taxpayer
Eligible Property Type
Characteristics of Eligible Property
Eligible properties include multiple-family buildings with up to 4 units with no more than 1 commercial unit, as well as mobile homes. Vacation homes are not eligible.
Description of Eligibility Criteria
Applicants must be at least 65 years of age or receiving Federal Social Security disability benefits. They must be the owner of the homestead or a manufactured or mobile home or a lessee of a site in a mobile home park. Eligible claimants are only entitled to receive payments on one homestead within the State in the same tax year. The home owner must have owned the home for 3 years and lived in the state continuously for 10 years. To be eligible, income limits are based on 2004 and 2005 annual income. The limit for married couples was $50,113 in 2004 and $51,466 in 2005. For singles, the income limit was $40,869 in 2004 and $41.972 in 2005. Applicants must meet all of the eligibility requirements for 2 consecutive years in order to be eligible.
Local Option in Adoption of Program
Local government is unable to exercise an option
Local Option Regarding Program Features
No local option regarding program features
State Funding for Local Tax Loss
State reimburses all of the local government tax loss
Description of State Funding for Tax Loss
The state will mail the payment of the homestead property reimbursement to each eligible claimant.
Income Limits History (no date) New Jersey Department of Taxation
[http://www.state.nj.us/treasury/taxation/pdf/homestead/ptr_income_chart.pdf Accessed 4/10/2011] View Archived Source