06 Feb Do I get the pension exclusion if I file separately?
Q. If I file separately from my wife in New Jersey and my income from retirement is $50,000 and my total income is $65,000, am I entitled to the pension exclusion? My wife’s income is $76,000.
— Trying to save
A. The New Jersey pension exclusion was created to help retirees better afford to stay in the state.
Based on the information your provided, it sounds like you may qualify.
She said gross income is what is shown on your NJ-1040 tax return on line 27.
The exclusion works differently for married folks who file together or who file separately.
For those filing separately, for 2019, $40,000 can be excluded, and that goes up to $50,000 for 2020. Those filing together can exclude $80,000 in 2019 and $100,000 in 2020.
You can see the amounts on this chart from the Division of Taxation.
Email your questions to moc.p1582588965leHye1582588965noMJN1582588965@ksA1582588965.
This story was originally published on Feb. 6, 2020.
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