S 4531 — Increases amount of child tax credit in taxable years 2026, 2027, and 2028.

2026, c.026 (S4531) §2CHAPTER Note26   P.L.An Act increasing the amount of the child tax credit in certain taxable years and amending P.L.2022, c.24.

2026, CHAPTER 26, approved June 30, 2026 Senate, No.

4531     An Act increasing the amount of the child tax credit in certain taxable years and amending P.L.2022, c.24.

  C.54A:4-17.1  Child tax credit, income limit.

       [The] Except in taxable years 2026, 2027, and 2028, the credit shall be in the following amounts:

     g.    The Division of Taxation shall issue data as part of the annual tax expenditure report, as required by section 1 of P.L.2009, c.189 (C.52:27B-20a) to include the number of taxpayers claiming the New Jersey Child Tax Credit, as well as claimants' income, the number of children benefitting, and the average credit amount per child and per claimantclaimant. (cf:

P.L.2023, c.72, s.1)        2.    This act shall take effect immediately and apply to taxable years beginning on and after January 1, 2026.

    STATEMENT        ThisApproved billJune increases30, the2026. amount of the child tax credit in taxable years 2026, 2027, and 2028.

     Current law provides for a credit against the New Jersey gross income tax to a resident taxpayer with income of $80,000 or less for each child under age six.  The amount of the credit depends upon the taxable income of a taxpayer.  Specifically, current law provides for a child tax credit in the following amounts:

            If the taxable income is:                                The credit is:

            $30,000 or under                                            $1,000             over $30,000 but not over $40,000               $800             over $40,000 but not over $50,000               $600             over $50,000 but not over $60,000               $400             over $60,000 but not over $80,000               $200      Under the bill, the child tax credit amounts are temporarily increased for taxable years 2026, 2027, and 2028, after which the child tax credit amounts are to return to the amounts listed above.  Specifically, the bill increases the child tax credit to the following amounts during taxable years 2026, 2027, and 2028:

            If the taxable income is:                                The credit is:

            $30,000 or under                                            $1,250             over $30,000 but not over $40,000               $1,000             over $40,000 but not over $50,000               $750             over $50,000 but not over $60,000               $500             over $60,000 but not over $80,000               $250                                             Increases amount of child tax credit in taxable years 2026, 2027, and 2028.