November 21, 2022

Application Deadline Extended for ANCHOR Property Tax Relief Program

 Last week, Governor Phil Murphy announced that the State is extending the application deadline for the new Affordable New Jersey Communities for Homeowners and Renters (ANCHOR) property tax relief by one month to January 31, 2023. Also, tenants who had previously been ineligible because their units are under PILOT (Payment in Lieu of Taxes) agreements are now eligible to apply for the benefit.

Applicants are encouraged to consult the detailed information posted on the Division of Taxation’s website, including the Frequently Asked Questions. For more information, visit the ANCHOR website or call the ANCHOR hotline at 1-888-238-1233.

DIVISION OF COLLECTIONS

The Jersey City Division of Collections is responsible for collecting payments to the city - whether property or, payroll taxes or abatement payments.

Payroll Tax FAQ

What is the Payroll Tax?
Per Jersey City Ordinance 18-133, all employers located within Jersey City are subject to a 1% tax on their gross payroll. All tax revenues will support the City of Jersey City public schools.
Are there any exceptions?
Employers with a quarterly gross payroll less than $2,500 are exempt from the payroll tax.

The wages of Jersey City residents are exempt.
In addition, the following are exempt:

a. The government of the United States;
b. The State of New Jersey, or a County, municipality, school district or special district of the State;
c. An interstate agency;
d. An agency or instrumentality of any entity enumerated in subsection a, b, or c. above;
e. Any insurance company formed by authority of another State or foreign country, subject to the provisions of N.J.S.A. 17:32-15;
f. Charitable Organization, as defined in Ordinance 18-133.

Note that the City has the right to request documentation that support these exceptions.
What is the definition of Payroll for tax purposes?
Payroll shall mean an amount equal to the total remuneration paid by an Employer to Employers which is subject to Federal income tax withholding by the Employer for Federal income tax purposes for services rendered, other than domestic services in a private residence, if:
 
A.   The services are performed within the City of Jersey City; or
B.   The services are performed outside of the City of Jersey City, but the place from which the services are supervised is in the City of Jersey City.

 
Such amount shall generally be based on the amount reportable by the Employer on its Federal Form 941 and shall include, but not be limited to, all wages, bonuses, commissions, tips, property, the right to receive property, taxable benefits and all other forms of compensation.
How do companies register?
Online registration is available at:  Register/file/pay
Where can I get my tax return?
How can I pay?
Checks, credit/debit card, and e-checks are accepted. Note that credit card payments assess a 2.20% convenience fee on the total payment amount and e-checks assess a $0.50 convenience fee.
Where should my payment be sent?
Jersey City Payroll Tax Unit
280 Grove Street
Room 101
Jersey City, NJ 07302
What locations are "within Jersey City?"
Any business with a Jersey City zip code determines whether businesses are subject to the payroll tax and whether employees are exempt from the payroll tax.
https://tools.usps.com/zip-code-lookup.htm?bycitystate
Can the Payroll Tax be deducted or withheld from employees' wages?

No. Pursuant to item 304-21 of Ordinance 18-33, “No Employer shall deduct or withhold any amount from the remuneration payable to an Employee because of the tax imposed by this article”.

When are tax returns and payments due?
Returns and payments are due quarterly.

Quarter

Months

Due Date

1

January – March

April 30

2

April –June

July 31

3

July – September

October 31

4

October- December

Jan 31 (following year)


Note that returns and payments are due on or before the due dates. Postmarks are not accepted as payment dates.

Further Questions?

For more detailed information, please refer to Ordinance 18-133, available here. Please email [email protected] if you have further questions.

PROPERTY TAX DEDUCTIONS, EXEMPTIONS, AND SENIOR FREEZE

You may be eligible for a $250 annual tax deduction if you are a Veteran, Widow/Widower of a Veteran, Senior Citizen, Disabled Citizen, or Surviving Spouse of a Senior Citizen or Disabled Citizen.  Please Contact our office for more information.

If you are a Totally Disabled Veteran you may qualify for a full tax exemption of your property taxes.  Please contact the Tax Assessor’s Office at 201-547-5132 for more information.

The Senior Freeze (Property Tax Reimbursement) program reimburses eligible New Jersey residents who are senior citizens or disabled persons for property tax increases on their principal residence (home). Senior Freeze Program

TAX SALE

All municipalities in the State of New Jersey are required to hold a tax sale for unpaid municipal charges that remain unpaid at the end of the yearly billing and payment cycle, November 11th.  Any municipal charge that remains unpaid and is delinquent as of November 11 in Jersey City will be subject to Tax Sale before the close of the calendar year.  The Tax Sale is held in December. Your property is not sold at tax sale; your outstanding municipal debt is paid by a Lienholder in exchange for an amount interest, penalties and statutory fees that they will earn on the amount they paid to the municipality, not to exceed 18%.  The Lienholder is able to pay any charges that become delinquent on the account once they hold the lien and add those charges to the lien balance.  If the lien is not redeemed within two years from the date of the Tax Sale the Lienholder has the right to begin a foreclosure action.  Please contact our office sooner, rather than later if you are having difficulty paying your property taxes, water or sewer bills.

TAX APPEALS

You cannot appeal the dollar amount of your property taxes in the State of New Jersey, however, you may appeal the assessed value of your property.  An appeal must be submitted by April 1st.  You will be mailed a postcard by the Tax Assessor’s office in January that will provide your current year's Assessment and information about how to file an Appeal.

TAX ABATEMENTS

The Division Of Collections also monitors the long-term Tax Abatements and the 5-year PILOT accounts.

Property tax relief programs

Information about Property Tax Relief Programs

Contact Info