Freiman, Mazzeo & Downey Legislation Ensuring Homeowners Can Prepay Property Taxes Goes to Governor

(TRENTON) – Legislation sponsored by Assembly Democrats Roy Freiman, Vince Mazzeo and Joann Downey permitting taxpayers to prepay their property taxes amid concerns about recent federal tax changes was approved 38-0 Monday by the Senate, giving it final legislative approval.

“New Jersey homeowners who took what they considered the necessary step of prepaying their property taxes before the end of 2017 to counter the adverse federal tax changes should not be punished,” said Freiman (D-Somerset/Mercer/Middlesex/Hunterdon). “These federal tax changes are bad enough. The state must be flexible and find ways to assist New Jersey homeowners being unfairly and directly impacted, and this is a common sense step that can help.”

The bill (A-3382) was approved by the Assembly in February. It now goes to Gov. Phil Murphy. It permits a property taxpayer to prepay any quarterly property tax installment before the issuance of the tax bill for that installment.

“In states like New Jersey where residents pay some of the highest property taxes in the nation, the effort to prepay your property taxes should never go unacknowledged,” said Mazzeo (D-Atlantic). “The new federal tax changes disproportionately affect homeowners for simply paying their property taxes in advance. That’s wrong.”

“Federal tax changes can already cause a lot of confusion for residents getting documents ready to file,” said Downey (D-Monmouth). “Homeowners who have prepaid their property taxes should receive credit under the year they paid. The new federal changes hurt homeowners and they should get credit where credit is due.”

The bill is retroactive to July 1, and applies to any property taxpayer who attempted to prepay a third or fourth quarter property tax installment for tax year 2018 in calendar year 2017, prior to the issuance of an actual tax bill in for that installment.