NJ Home Buyer Tax Credit Legislation Approved by General Assembly for 2010!

Tax credit on the local lever has been recently approved by NJ State legislature through bill A-1678/S-692. This bill established a NJ Home Buyer Tax Credit Program to credit home-buyers for purchases made within a one year span following the law enactment date. The tax credit will be up to $15,000, or 5% of a home purchase price, whichever is less, for qualified home buyers. Home buyers will receive the credit over 3 years, during which time the home purchased must be used as a primary residence.

Currently funds earmanrked for this purpose have been at a ration of 3:1 favoring new constructions over existing ones, though this may change in the final amendments of the law.

Before this legislation can become law, it must be approved by the full state Senate and be signed by Governor Chris Christie. The full Senate may vote on the bill as early as its next scheduled meeting on June 10, 2010. It is unknown what position Governor Chris Christie holds on this issue.