Mayor Leads Fight for Monroe Seniors' State Tax Relief
My ongoing pledge is to continue to be a good steward of the public’s resources for the betterment of our community. Presenting a municipal budget without a tax increase is one step in that effort and working with state leaders on tax relief, particularly for seniors, is another element.
This month, with the fiscal 2020 state budget under discussion in Trenton, I will host Assembly Speaker Craig Coughlin for a roundtable with residents and our 14th District Assemblymen Wayne DeAngelo and Daniel Benson. I want to build on our accomplishments over the past few years.
Last year, I worked with Speaker Coughlin, a Middlesex County resident, to successfully restore cuts to the Homestead Credit program, providing $3.3 million in state tax relief for Monroe seniors. The Homestead property-tax relief program provides critical tax relief to seniors and people with disabilities earning up to $150,000 annually. Qualified residents received half of the credit in their May tax bill. I will fight along with the Speaker and our state representatives to ensure the second credit is funded in the state’s fiscal 2020 spending plan.
Regarding the state budget, I also will be discussing with the Speaker directly about the need to expand the income threshold for the Senior Freeze (Property Tax Reimbursement) Program. Currently, the senior freeze is limited to incomes under $70,000. This threshold must be raised so more seniors qualify.
Several years ago, I helped fight to expand the state’s retirement income exemption, which was stuck at $20,000. Thankfully, we were successful in that fight and we must stay on track in order to keep our seniors financially stable and remaining in New Jersey.
The retirement income exclusion threshold is slated to increase to $80,000 this year (2019) and to $100,000 in 2020. Retirees will be able to exclude more of their pension and retirement income from New Jersey income tax.
In the future, many retirees may pay zero income tax under the new program. It is absolutely critical that this exemption reach $100,000 in 2020 and we need to change the law so everyone gets the benefit of the first $100,000 no matter an individual’s income.
Finally, we have to continue to support our veterans. I was pleased that the legislature added a $3,000 state income tax deduction for veterans beginning in 2017. And of course, we must maintain the $250 property tax deduction for veterans. Both of these are important programs and recognize the sacrifice that our veterans made for each of us.
As your Mayor, I will continue to use the position you have entrusted in me to fight for tax relief for our residents at every level. I will address the issues impacting our senior community and create positive change at every opportunity. You deserve no less.
Thank you for the opportunity to serve.