Provides gross income tax credit for certain homeschooling expenses.

S3930

SENATE, No. 3930

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED MARCH 12, 2026

Sponsored by:

Senator� ANGELA V. MCKNIGHT

District 31 (Hudson)

SYNOPSIS

���� Provides gross income tax credit for certain
homeschooling expenses.

CURRENT VERSION OF TEXT

���� As introduced.

��

An Act

providing a gross income tax credit for certain
expenses incurred in homeschooling a child
,
supplementing chapter 4 of Title 54A of the New Jersey Statutes.�

����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:

���� 1.��� a.�� A taxpayer, whose
gross income for the taxable year does not exceed $150,000, shall be allowed a
credit against the tax due pursuant to the �New Jersey Gross Income Tax Act,�
N.J.S.54A:1-1 et seq., in an amount equal to the value of qualified homeschool expenses
incurred by the taxpayer in the taxable year, up to $1,000 per child or
dependent; provided, however, that the credit allowed by this section shall not
exceed $3,000 per taxpayer in a taxable year.

���� b.��� As used in this section:

���� �Qualified homeschool
expenses� means expenses for educational textbooks, workbooks, and teachers�
edition books; computer software whose primary purpose is for teaching or
self-learning; rental fees for educational curriculum; and membership fees for
libraries and academic institutions and organizations.� Qualified homeschool
expenses shall not include materials used to set up a home school, including
but not limited to computers, desks, boards; consumable school supplies,
including but not limited to pencils, pens, paper; and internet provider fees.�

���� c.���� In the case of married
couples who file separately, each person shall be permitted to claim one-half
of the credit allowed pursuant to subsection a. of this section for qualified
homeschool expenses jointly incurred in a taxable year.

���� d.��� The order of priority of
the application of the credit allowed pursuant to this section and any other
credits allowed against the New Jersey gross income tax due pursuant to
N.J.S.54A:1-1 et seq. for a taxable year shall be as prescribed by the
director.

���� e.���� The amount of the
credit applied against the New Jersey gross income tax due pursuant to
N.J.S.54A:1-1 et seq. shall not reduce the liability of a taxpayer under the
New Jersey gross income tax to an amount less than zero.

���� 2.��� This act shall take
effect immediately and shall apply to taxable years beginning on or after the
January 1 next following the date of enactment.

STATEMENT

���� This bill provides a
non-refundable gross income tax credit for certain expenses associated with
homeschooling a child or dependent.

���� Under the
bill, a taxpayer may claim a gross income tax credit in an amount equal to the
qualified homeschool expenses incurred by the taxpayer in a taxable year, for
up to $1,000 per child or dependent; however, the taxpayer may not claim more
than $3,000 in a taxable year (
i.e.
, three children or dependents).� A
taxpayer�s gross income cannot exceed $150,000 in a taxable year in order to
receive the credit.� For taxpayers who are married but file separately, each
person may claim one-half of the credit otherwise allowable.� The term
�qualified homeschool expenses� is defined to encompass educational textbooks,
workbooks, and teachers� edition books; computer software whose primary purpose
is for teaching or self-learning; curriculum rental fees for educational
material; and membership fees for libraries and academic institutions and
organizations. Qualified homeschool expenses expressly excludes the following:
materials used to set up a home school (
e.g.
, computers, desks, boards);
consumable school supplies (
e.g.
, pencils, pens, paper); and internet
service provider fees.�

���� Parents and guardians who
homeschool their children go to great lengths, and incur great costs, in order
to provide a quality education to those in their care.� The State, moreover,
has an interest in supporting the development and access to educational
opportunities for all children residing in the State, irrespective of the
method by which they are educated.� This bill seeks to balance such interests
by providing a gross income tax credit to cover the costs of many expensive yet
fundamental educational resources, such as textbooks and educational software
incurred by parents and guardians homeschooling their children and dependents.