New Jersey

New Jersey Has Acted To Exempt Poor Families From the Income Tax By Tax Year 2001.

 

New Jersey’s 1999 income tax threshold — the income level at which families begin paying income tax:	Ranking among 42 states with income taxes
For two-parent families of four: $10,000.	7th lowest (tie)
For single-parent families of three: $10,000.	10th lowest (tie)
New Jersey’s 1999 income tax on working-poor and near-poor families:
For families of four with incomes at the poverty line ($17,028): $168.	13th highest
For families of three with incomes at the poverty line ($13,290): $130.	10th highest
For families of three with minimum-wage earnings ($10,712): $94.	8th highest
For families of four with incomes at 125% of the poverty line ($21,285): $228.	20th highest
For families of three with incomes at 125% of the poverty line ($16,613): $177.	15th highest
Starting in Tax Year 2001, New Jersey will exempt families with incomes below the poverty line from the income tax. New Jersey’s tax threshold for families of four increased for 1999 and will increase again in 2000 and 2001. By tax year 2001, the tax threshold will exceed the poverty line.