Many veterans qualify for an additional exemption of $3,000 on their New Jersey Income Tax for income earned in 2017 and beyond. This exemption does not apply to income earned in 2016 or earlier.
If you are a military veteran, you are eligible for this exemption if you were honorably discharged. Recently discharged veterans become eligible in the tax year they were released under honorable circumstances.
Claiming the Exemption
When completing your return you must fill in the oval (resident return) or check the box (nonresident return) to indicate that you are claiming this exemption. Otherwise, the exemption(s) will be disallowed. Your spouse or civil union partner also can take this exemption if he/she is a military veteran who meets the requirements above.
You cannot claim this exemption for a domestic partner or your dependents. See Military Personnel for more information.
You must provide official documentation showing that you were honorably discharged or released under honorable circumstances from active duty the first time you claim the exemption(s).
Your documentation must list your character of service (discharge). If you do not have any of the documentation on the list, you may submit any other official documentation you have showing that you were honorably discharged or released under honorable circumstances from active duty.
Once the Division of Taxation confirms your eligibility in your first year of filing, you do not need to submit documentation each year you claim this exemption. The Division will send you a letter confirming your eligibility, which you should keep with your records.
The United States National Archives and Records Administration can assist if you need to obtain a copy of your records.
You can certify for the exemption before you file a tax return by sending a copy of your documentation and Veteran Income Tax Exemption Submission Form to the Division.
This may help your return to process faster. To certify:
- Use our secure document upload feature. Enter the notice code VET and select PO Box 440; or
- Mail a copy of your documentation and the Veteran Income Tax Exemption Submission Form to:
The New Jersey Division of Taxation Veteran Exemption
- Fax your documentation and Veteran Income Tax Exemption Submission Form to 609-633-8427.
If you do not certify before you file, you will need to submit your documentation when you file a tax return:
- Paper Return. Enclose your documentation with your return;
- NJ Fill 'n File. Upload documentation into the repository;
- Other Electronic Filings. If you file your return using NJ WebFile, third-party software (such as TurboTax), or a tax professional who electronically submits your return, you can send a copy of your documentation and the Veteran Income Tax Exemption Submission Form using one of the three methods listed above for certifying before you file a return.
Click on the following link for the Veteran Income Tax Exemption Submission form: