ACTION ALERT: NJ Senate to Vote Monday 3/25 on State Charitable Deduction Legislation
Tell Your NJ Senator to Support S-2179
On Monday, March 25, the New Jersey Senate will vote on bipartisan legislation that would allow New Jersey taxpayers to deduct charitable contributions from their state income taxes.
AFP is working with the Center for Non-Profits in New Jersey to encourage AFP members to contact their state Senators and urge them to support this important bill.
S-2179 (Kean/Singleton)/would permit a taxpayer to deduct from state income taxes the amount of charitable contributions made to a “qualified New Jersey-based charitable organization” equal to the amount that is allowable as a charitable deduction under federal income taxes. A taxpayer need not itemize on their federal return in order to claim the state deduction. A “qualified” New Jersey-based organizations is defined in the bill as:
a charitable organization that is registered pursuant to the "Charitable Registration and Investigation Act," P.L.1994, c.16 (C.45:17A-18 et seq.), or an organization that is exempt from the registration requirements of that act pursuant to section 9 of P.L.1994, c.16 (C.45:17A-26), and that maintains an office, employs persons, and provides services in this State.
S-2179 was approved unanimously by the Senate Budget & Appropriations Committee on March 4. A companion bill, A-307, is awaiting consideration by the Assembly Budget Committee.
For years, New Jersey charities have been grappling with the mounting pressures of skyrocketing demand for services while resources have failed to keep pace (as outlined in a recent survey report). The federal tax law has compounded the difficulties by putting the federal charitable deduction out of reach to all but an estimated 10% of taxpayers and capping state and local tax (SALT) deductions, affecting the ability of many New Jerseyans to give.
S-2179 would provide desperately needed relief by allowing New Jersey taxpayers – whether or not they itemize on their federal return – to deduct contributions made to New Jersey-based organizations that have an office and at least one employee. The impact that it could have for resource-stretched charities and all who need them, and on New Jerseyans hit hard by the federal tax law, would be significant. Read our full position statement here.
Contact your New Jersey Senator and ask them to support S-2179 when it comes before the Senate for a vote on Monday, March 25. For sample talking points that you can adapt for your own organization, see the Center’s statement in support of S-2179.
• To find your Senator: https://www.njleg.state.nj.us/members/legsearch.asp
• Legislative roster with Email addresses: http://www.njcommunityresources.info/njlegislators.html
AFP appreciates the information and advocacy from the New Jersey Center for Non-Profits and thanks the Center for its work on this important issue!