Community Foundation of New Jersey

New Legislation Boosts Philanthropy

July 2, 2013

Over the last few years, we’ve heard from many donors who are confused or uneasy about the process by which the State of New Jersey determines one’s residency for tax purposes.  To maintain a legal domicile outside of New Jersey requires an individual to pass a so-called “facts and circumstances test” that considers the number of days spent in New Jersey, community involvement, and other factors.

To avoid the perception of residency, it has been recommended that individuals even go so far as to avoid giving to New Jersey charities – an understandable recommendation made out of an abundance of caution that, unfortunately, holds back our state’s philanthropic potential.

That’s why we’re thrilled that Governor Christie has signed into law legislation sponsored by Senators Steve Oroho and Paul Sarlo and Assembly members Valerie Huttle, Grace Spencer, Thomas Giblin, Jay Webber, and Shavonda Sumter to formally “disallow the Division of Taxation [from] considering a person’s charitable contributions as a factor in determining one’s income tax obligations.”

We’ve long worked to make New Jersey the most charitable state in the country and this new law is an important step in making that happen. Please join us in celebrating this new law and getting the word out to your friends and family.

With specific questions about your own haritable giving, please contact the Community Foundation of New Jersey at 973-267-5533.