CIVIL UNIONS
BENEFITS UNDER THE PENSION SYSTEMS,
THE STATE HEALTH BENEFITS PROGRAM, OR
THE SCHOOL EMPLOYEES' HEALTH BENEFITS PROGRAM

Chapter 103, P.L. 2006, the Civil Union Law, establishes civil unions for same-sex couples in the State of New Jersey. The law also extends public pension, State Health Benefits Program (SHBP), and School Employees' Health Benefits Program (SEHBP) benefits to same-sex civil union partners of State employees, Local Government and Educational employees, and retirees of these employers in the same manner as those benefits are available to an employee's or retiree's spouse. This law became effective on February 19, 2007.

Effect on Domestic Partnerships — While the Civil Union Law created a new status for same-sex couples within the State of New Jersey, the law is not intended to replace or terminate existing same-sex domestic partnership relationships established under the Domestic Partnership Act (Chapter 246, P.L. 2003).

TAXATION OF CIVIL UNION PARTNER BENEFITS

The Federal Government and the Internal Revenue Service (IRS) do not recognize a civil union partner as a dependent for tax purposes. Therefore, your employer may have to treat a civil union partner's health benefit as a taxable fringe benefit and withhold federal income, Social Security, and Medicare taxes on the value of the premiums paid. The charts and forms below show the taxable value of civil union partner health benefits coverage, and provide additional forms and publications that address the federal "tax dependent" status of civil union partners.