New Jersey State Income Tax in 2025: A Guide

New Jersey uses a graduated income tax system—meaning the more you earn, the higher your tax rate. For the 2024 tax year (the taxes you’ll file in 2025), rates range from 1.4% to 10.75%, depending on income and filing status. Factors like your income level, filing status, residency, and available deductions or credits will determine how much you owe.  

While New Jersey’s top rates are among the highest in the country, the state also offers several tax credits and deductions to help lower your bill. Let’s break down what you need to know when filing your New Jersey state income taxes this year. 

*Note you are still responsible for federal taxes if you meet the IRS income filing threshold. This article addresses state-specific taxes only. 

New Jersey state income tax rates

New Jersey’s income tax system features seven tax brackets, with rates ranging from 1.4% to 10.75%. These rates apply progressively—the more you earn, the higher the percentage of your income you’ll pay in taxes. The state’s 10.75% rate applies to those with taxable income exceeding $1 million. 

New Jersey state income tax returns are typically due on April 15, 2025, aligning with the federal tax deadline unless an extension is granted. In the next section, we’ll break down tax tables and the specific tax brackets and rates for each filing status—including single filers, married couples, and heads of households—to help you better understand where you fit in.

Tax table or tax rate schedule: Which should you use?

When figuring out how much state income tax you owe in New Jersey, you’ll use either the state’s tax table or tax rate schedule, depending on your taxable income.  

The good news is if you file online with tax software like TurboTax, you won’t have to figure out which calculation to use — our software provides a done-for-you experience.  

But if you’re determining your tax liability yourself, use the tax table if your New Jersey taxable income is under $100,000 and the tax rate schedule if it’s $100,000 or more. Here are more details on how the tax table and tax rate schedule work: 

• The tax table (which you can find in the 2024 NJ-1040 Resident Return booklet) provides a quick way to find your exact tax amount without doing any calculations. You just look up your taxable income in the table, and it tells you how much tax you owe. 
• Example: If your taxable income is $45,325, find the row in the tax table that covers “$45,300–$45,350” to see your exact tax obligation. 

• The tax rate schedule (listed in the next section) requires you to do a bit of math using your taxable income and the rates we just talked about. The tables below show the calculations you’ll need to make if filing manually. Remember: If you file with TurboTax, it will do the math for you. 

Here’s how the tax rate schedules break down by filing status:

Single or Married (or civil union) Filing Separately

The following table outlines the New Jersey state income tax rates for individuals filing as Single or Married (or civil union) Filing Separately in 2024. 

Taxable income	Tax rate
$0 to $20,000	1.4%
$20,001 to $35,000	1.75% (subtract $70 from the result of taxable income multiplied by 1.75%)
$35,001 to $40,000	3.5% (subtract $682.50 from the result)
$40,001 to $75,000	5.525% (subtract $1,492.50 from the result)
$75,001 to $500,000	6.37% (subtract $2,126.25 from the result)
$500,001 to $1 million	8.97% (subtract $15,126.25 from the result)
More than $1 million	10.75% (subtract $32,926.25 from the result)​

Married (or civil union) Filing Jointly, Head of Household, or Qualifying Widow(er)/surviving partner

The table below outlines the New Jersey state income tax rates for taxpayers filing as Married (or civil union) Filing Jointly, Head of Household, or Qualifying Widow(er)/surviving partner in 2024. 

Taxable income	Tax rate
$0 to $20,000	1.4%
$20,001 to $50,000	1.75% (subtract $70 from the result of taxable income multiplied by 1.75%)
$50,001 to $70,000	2.45% (subtract $420 from the result)
$70,001 to $80,000	3.5% (subtract $1,154.50 from the result)
$80,001 to $150,000	5.525% (subtract $2,775 from the result)
$150,001 to $500,000	6.37% (subtract $4,042.50 from the result)
$500,001 to $1 million	8.97% (subtract $17,042.50 from the result)
More than $1 million	10.75% (subtract $34,842.50 from the result)​

Who has to file New Jersey state income tax

If you live, work, or earn income in New Jersey, you may need to file a state income tax return. Filing requirements depend on your gross income, filing status, and residency status. Residents, part-year residents, and nonresidents must file if their income exceeds certain thresholds. 

If your income meets or exceeds the following amounts, you’re required to file a New Jersey state income tax return. 

Filing status	Gross income threshold
Single or Married/civil union Filing Separate return	$10,000
Married/civil union Filing Joint return, Head of Household, or Qualifying Widow(er)/surviving partner	$20,000

A New Jersey tax return must also be filed if you:

• Have New Jersey Income tax withheld and are getting a refund.
• Paid New Jersey estimated tax payments and are getting a refund.
• Are eligible for the New Jersey Earned Income Tax Credit and are getting a refund.

How New Jersey residency impacts tax

New Jersey recognizes three residency statuses for state tax purposes: resident, part-year resident, and nonresident. Your residency status determines how your income is taxed and which tax forms you’ll need to file. 

The chart below breaks down each residency type, who qualifies, and how income is taxed based on your residency status. 

Residency status	Definition	How New Jersey taxes income
Resident	Lived in New Jersey for the entire tax year or maintained a permanent home in New Jersey and spent more than 183 days in the state.	Taxed on all income earned, regardless of where it was earned.
Part-year resident	Moved in or out of New Jersey during the year.	Taxed on income earned while a resident andNew Jersey sourced income earned while a nonresident.
Nonresident	Lived outside of New Jersey but earned income from New Jersey sources.	Taxed only on New Jersey-sourced income.

Other income tax considerations in New Jersey

Along with standard wages and salaries, retirement income, investments, Social Security, and military income are taxed differently in New Jersey. Below are key points to keep in mind when filing your state taxes: 

• Retirement and pension income tax: Social Security benefits, Railroad Retirement benefits, and military pensions are exempt from New Jersey state income tax. However, pensions, annuities, and certain IRA withdrawals are generally taxable for New Jersey residents.  
  • New Jersey offers a pension exclusion for residents aged 62 or older, or those who are disabled, with a gross income of $150,000 or less. 
  • Qualified distributions from a Roth IRA are excluded from taxable income in the state.  
• Investment income tax: Capital gains are taxed at the same rates as personal income, with no preferential treatment for long-term capital gains. 
• Social Security income tax: New Jersey does not tax Social Security benefits, providing relief for retirees who rely on this income source. 

Military income tax: Military pay is taxable for New Jersey residents, but combat zone pay is exempt from state income taxes. Military pensions and survivor benefit payments are not taxed, regardless of age or disability status. Civil service pensions and annuities, even if based on military service, are taxable.

Common New Jersey state tax deductions and credits

New Jersey offers several tax deductions and credits designed to reduce your taxable income or provide direct financial relief. Below are a few state-specific deductions and credits you should know about.  

Tax credit/deduction	Description	Amount
Child and Dependent Care Credit	Credit for expenses related to child care or dependent care for qualifying dependents.	Up to 50% of federal Child and Dependent Care Credit; maximum federal credit for 2024 is $6,000.
Child Tax Credit	Credit for taxpayers with qualifying children aged 5 or younger.	Up to $1,000 per child, depending on income.
New Jersey Earned Income Tax Credit (NJEITC)	Credit for low-to-moderate-income individuals and families based on earned income.	40% of the federal Earned Income Tax Credit (EITC); maximum federal credit for 2024 is $7,830.
Organ/Bone Marrow Donation Deduction/Credit	Deduction for unreimbursed expenses related to organ or bone marrow donations.	Up to $10,000.
Property Tax Deduction/Credit for Homeowners and Renters	Deduction or credit for property taxes paid on a primary residence (main home).	Homeowners can deduct property taxes paid (up to $15,000 or $7,500 if Married Filing Separately), while renters can deduct 18% of rent paid from their taxable income; alternatively, a refundable $50 credit (or $25 if Married Filing Separately) is available to reduce taxes owed.

How to file New Jersey state income tax

Filing your New Jersey state income taxes doesn’t have to be overwhelming—TurboTax has your back. 

• File with confidence: TurboTax ensures you get every deduction and credit you qualify for in New Jersey. 
• Do it your way: File your taxes yourself with easy-to-follow guidance or have a TurboTax expert handle it for you from start to finish. 
• Maximize your refund: TurboTax is built to uncover every savings opportunity, whether you’re a resident, part-year resident, or nonresident. 

No matter your tax situation, we’ll simplify the process so you can file accurately and maximize your refund. 

Ready to file your New Jersey state income taxes? Start with TurboTax today— your time and money deserve expert care.