Renters credit in New Jersey
Varies
Can Renters Get a Tax Break in New Jersey?
Short answer: Yes: New Jersey offers the Property Tax Deduction/Credit for Tenants; ANCHOR. On Form NJ-1040, 18% of rent counts as property tax, so tenants can deduct that amount (up to $15,000) or take a refundable $50 credit, whichever is better. Renters can also get a separate ANCHOR benefit of $450, or $700 if 65+. Deduction/credit: rental must be subject to property tax and gross income above $20,000 ($10,000 single/MFS) unless 65+, blind, or disabled. ANCHOR: New Jersey gross income of $150,000 or less, and your name must be on the lease.
ANCHOR eligibility is based on renting your main home on October 1 of the prior year; the application deadline for the 2025 benefit year is November 2, 2026. Tax-exempt, subsidized, and campus housing generally don't qualify. Rent on your own home isn't deductible on your federal return; the exceptions are a home office used for your business or renting out part of the place you rent.
Records to keep: Keep your lease, rent receipts or a landlord rent certificate, and proof of household income. Check your state's current-year form and deadline before you apply.
Renters credit in New Jersey
Varies
Individuals / Personal Taxes
Yes: New Jersey offers the Property Tax Deduction/Credit for Tenants; ANCHOR. On Form NJ-1040, 18% of rent counts as property tax, so tenants can deduct that amount (up to $15,000) or take a refundable $50 credit, whichever is better. Renters can also get a separate ANCHOR benefit of $450, or $700 if 65+. Deduction/credit: rental must be subject to property tax and gross income above $20,000 ($10,000 single/MFS) unless 65+, blind, or disabled. ANCHOR: New Jersey gross income of $150,000 or less, and your name must be on the lease.
Business justification
Yes: New Jersey offers the Property Tax Deduction/Credit for Tenants; ANCHOR. On Form NJ-1040, 18% of rent counts as property tax, so tenants can deduct that amount (up to $15,000) or take a refundable $50 credit, whichever is better. Renters can also get a separate ANCHOR benefit of $450, or $700 if 65+. Deduction/credit: rental must be subject to property tax and gross income above $20,000 ($10,000 single/MFS) unless 65+, blind, or disabled. ANCHOR: New Jersey gross income of $150,000 or less, and your name must be on the lease. ANCHOR eligibility is based on renting your main home on October 1 of the prior year; the application deadline for the 2025 benefit year is November 2, 2026. Tax-exempt, subsidized, and campus housing generally don't qualify. Rent on your own home isn't deductible on your federal return; the exceptions are a home office used for your business or renting out part of the place you rent.
Category
- Personal Tax Deductions