Income Tax Exemption for Veterans

The Official Web Site For The State of New Jersey – Department of Treasury

You are eligible for a $6,000 exemption ($3,000 for Tax Years 2017 and 2018) on your New Jersey Income Tax return if you are a military veteran who was honorably discharged or released under honorable circumstances from active duty in the Armed Forces of the United States on or any time before the last day of the tax year. Your spouse (or civil union partner) is also eligible for an exemption if they are a veteran who was honorably discharged or released under honorable circumstances and you are filing a joint return. This exemption is in addition to any other exemptions you are entitled to claim and is available on both the resident and nonresident returns. You cannot claim this exemption for a domestic partner or for your dependents. Note: This exemption can only be claimed by qualifying veterans. It does not pass through to a surviving spouse.

NJ Division of Taxation – Check the Status of Your Veteran Exemption (state.nj.us)

Providing Documentation

You and/or spouse 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. The most common form of documentation provided is a copy of your Certificate of Release or Discharge from Active Duty, DD-214, The United States National Archives and Records Administration can assist with obtaining a copy of your DD-214. You only need to submit a copy of your records the first time you claim the exemption, you do not need to provide this documentation each year.

You can qualify for the exemption by sending your documentation and Veteran Income Tax Exemption Submission Form to the State of NJ before you file your return.

• Online– use our secure document upload feature to submit your documentation and Veteran Income Tax Exemption Submission Form . Enter the notice code VET and select PO Box 440;
• By Mail – send a copy of your documentation and Veteran Income Tax Exemption Submission Form to: The New Jersey Division of Taxation, Veteran Exemption, PO Box 440, Trenton, NJ 08646-0440; or
• By Fax – send your documentation and Veteran Income Tax Exemption Submission Form to 609-633-8427.

If you do not certify before you file for the exemption, you will need to submit documentation showing that you were honorably discharged or released under honorable circumstances from active duty when you file using:

• A Paper Return. Enclose a copy of your documentation with your return;
• Electronic Filing Methods. If you file your return using, the New Jersey Online Income Tax Filing system, third-party software (such as TurboTax), or you have a tax professional who electronically submits your return, you can send a copy of your documentation and Veteran Income Tax Exemption Submission Form using one of the three certification methods listed above.