Property tax relief coming for nearly 2 million New Jersey homeowners, renters

Property tax relief coming for nearly 2 million New Jersey homeowners, renters

March 11, 2022 0 By T.A. DeFeo

Roughly 1.8 million homeowners and renters are to be distributed $900 million in property tax relief, New Jersey Gov. Phil Murphy announced.

Under the Affordable New Jersey Communities for Homeowners and Renters Property Tax Relief Program, homeowners making $250,000 or less per year can receive a $700 rebate on average in fiscal 2023. It would ostensibly reduce the effective average property tax rate back to the 2016 level for many households previously ineligible for property tax relief.

Murphy proposed a three-year ramp-up for the program. By fiscal 2025, property tax rebates would increase to $1,150 on average per eligible household, and the state plans to spend up to $1.5 billion annually on the initiative.

“While the state does not set property taxes, we believe that we must take action to offset costs and make life in New Jersey more affordable,” Murphy said in an announcement. “Through the ANCHOR Property Tax Relief Program, we can provide real support for families and seniors, helping them stay in the homes and communities they love.”

Additionally, renters making up to $100,000 per year are eligible for a rebate of up to $250 to help offset the cost of rent increases due to property taxes, the governor said.

Murphy plans to include funding for the program, which replaces the Homestead Rebate Program, in his fiscal 2023 budget he will unveil next week.

Assemblyman John DiMaio, R-Warren, said state programs haven’t prevented property taxes from increasing, and state officials haven’t tackled the causes of the rising costs.

“The root causes of higher property taxes continue to be unaddressed,” DiMaio, the Assembly Republican leader, said in a statement. “School funding hasn’t stopped increases. Homestead benefits and senior freeze haven’t stopped increases. And municipal aid hasn’t stopped increases. At some point Democrats have to realize state spending doesn’t address municipal problems.

“This program is like putting gauze over a permanent wound instead of a Band-Aid. It is covering more, but property taxes will continue to bleed household budgets,” DiMaio added. “He doesn’t deserve a pat on the back for this stunt. It’s more of the same.”

This article was originally posted on Property tax relief coming for nearly 2 million New Jersey homeowners, renters