New Jersey Property Tax Exemption

Eligibility for Veterans who meet all of the following criteria:

~ Served during a specified NJ wartime period.*
~ Received an honorable discharge or under honorable conditions.
~ Rated 100 percent permanent service-connected by the VA. The 100 percent rating cannot be temporary or as a result of hospitalization, surgery or recuperation.

*Must have served at least 14 days in combat zone. Combat zone qualification is most frequently indicated by an Armed Forces Expeditionary Medal.

Eligibility for spouses who meet the following criteria:

~ Not remarried.
~ Even if the marriage is terminated by death/divorce, the spouse is no longer entitled. However, if the marriage is annulled, the surviving spouse regains eligibility.
~ Veteran previously received exemption prior to death.
~ Veteran would have been found eligible if an application had been filed prior to death.

And one of the following criteria:

~ The veteran had to be rated 100 percent permanent VA service-connected prior to death. A spouse is not eligible if the veteran was rated less than 100 percent permanent service-connected, but died of that service- connected disability.
~ The veteran died in active service during wartime in any branch of the United States Armed Forces. Application Process The application at the municipal property tax assessor's office is signed and filed with the following documentation:
~ property deed
~ discharge (DD214)
~ VA Property Tax Exemption Letter. The letter must be requested by contacting the VA at 1-800-827- 1000. Do NOT submit the VA Award Letter indicating the monetary award. That may delay the effective date of the exemption.

Do NOT submit any medical documentation except for the VA property tax exemption letter even if the tax assessor demands it. The VA deems a veteran 100 percent permanent service-connected disabled, not the tax assessor.

The spouse may need to submit the property deed, a marriage certificate, death certificate, discharge (DD-214) to the tax assessor especially if the veteran did not claim the exemption but would have been eligible. If the veteran or surviving spouse moves to another residence (dwelling house) in the same municipality, a new application must be filed to continue the exemption.

Effective Date of Payment - The exemption unlike the deduction is PRORATED from the date the veteran or spouse filed the application with ALL required documentation. EXAMPLE: A veteran completes the application on April 7, but does not submit all the documentation until May 3. The veteran's property tax exemption is effective May 3. Many tax assessors exempt the property tax January 1 of the next year. The same proration process applies to the surviving spouse.

Retroactive payment - Each city council or governing body, at its discretion, may grant a retroactive abatement for 100 percent permanent VA rated service-connected disability cases. Taxing authorities are only mandated to exempt property tax from the date the application is filed with all required documentation.

From effective date of 100 percent permanent VA service-connected disability rating is determined by each city council by resolution. The governing body has the discretion to grant a retroactive payment. They are only mandated to exempt property tax from the date the application is filed with all required documentation.