Are property tax relief benefits such as the homestead rebate or property tax reimbursement taxable?
For New Jersey purposes the homestead rebates and property tax reimbursement payments are not taxable, and should not be reported on the New Jersey gross income tax return. Contact the IRS for information on the taxability of these payments for Federal purposes. Are the Federal deductions for general sales taxes paid or for taxes paid on the purchase of a new motor vehicle applicable for New Jersey income tax purposes? You may not deduct these taxes on your New Jersey income tax return. On the Federal return I can claim a credit for the purchase of a hybrid motor vehicle. There is also a credit for first- time homebuyers. Can I claim these credits on my New Jersey income tax return? There are no provisions on the New Jersey return for either an alternative motor vehicle credit or a first-time homebuyer credit. Where do I mail my return? Where you mail your New Jersey return and/or payment de pends on the form you are filing, and whether you are due a refund or making a payment. See “Wh
