FAIR LAWN, NJ – New Jersey Governor Phil Murphy has announced his plan to distribute over $900 million in property tax relief and credits to nearly 1.8 million homeowners and renters across the state under his new Affordable New Jersey Communities for Homeowners and Renters (ANCHOR) property tax relief program.
If approved by the legislature, Murphy’s Fiscal Year 2023 budget could have rebates similar to the Homestead Tax Rebate that would be eligible to far more people.
“Under the ANCHOR Property Tax Relief Program, homeowners making up to $250,000 per year are eligible to receive an average $700 rebate in FY2023 to offset property tax costs, lowering the effective average property tax cost back to 2016 levels for many households that were previously ineligible for property tax relief. Also, renters making up to $100,000 per year are eligible for a rebate up to $250 to help defray the cost of rent increases due to property taxes,” Murphy’s administration said in a release.
“This program will provide direct property tax relief to households regardless of whether they own or rent,” said Governor Murphy. “While the state does not set property taxes, we believe that we must take action to offset costs and make life in New Jersey more affordable. Through the ANCHOR Property Tax Relief Program, we can provide real support for families and seniors, helping them stay in the homes and communities they love.”
“Our Administration pledged to help working-class people first and that is what we’re doing with this ANCHOR tax relief program,” said Lt. Governor Sheila Oliver, who serves as Commissioner of the Department of Community Affairs. “Those extra dollars back in the pockets of New Jerseyans will go a long way toward supporting affordability and improving quality of life.”
According to Murphy’s administration, the Governor proposes a three-year ramp up for ANCHOR. By FY2025, property tax rebates provided as part of the program would swell to $1,150 on average per eligible household, with the annual State investment in the program up to $1.5 billion annually.
“The ANCHOR program expands on and replaces the Homestead Rebate Program, which serves 470,000 homeowners annually and provides an average benefit of $626. Renters are not eligible for the current Homestead program, but ANCHOR recognizes that rents are often raised to offset rising property taxes. ANCHOR will make nearly four times more New Jerseyans eligible to receive a property tax rebate, when compared with Homestead,” Murphy said.