Over 1.6 Million New Jersey Households Apply for Property Tax Relief Program

Nearly 1.7 million households in New Jersey, out of a possible 2 million, have applied for a new state property tax relief program.  Governor Phil Murphy announced on Wednesday that the first wave of rebates, which could be as high as $1,500 for homeowners and $450 for renters, will be distributed later this month, based on a published report by the Official Site of the State of New Jersey on March 1, 2023.

The ANCHOR program, which will be fully funded for another year in Murphy’s budget proposal, is intended to offset New Jersey’s high property taxes, the highest in the United States. While around 300,000 eligible households did not apply, Murphy said that final application figures could still increase as applications are still being received.

The ANCHOR program will benefit about 4-5 million people in New Jersey, replacing the homestead tax rebate, according to an updated report by NJ.com on March 4, 2023. It provides rebates to eligible households that apply, but does not directly reduce property taxes. The first year’s eligibility is for homeowners and renters who occupied their primary residence on October 1, 2019, and filed or were exempt from state income taxes.

Republicans criticize ANCHOR as a “gimmick” and argue that Democrats should provide more direct property tax relief. Governor Murphy defends the program, claiming it will reduce property taxes significantly. Renters were difficult to reach about the program.

Murphy plans to make sure no eligible families miss out on ANCHOR relief by increasing efforts in the second year and exploring the possibility of automatic payments in the next round of applications. Approval for another year of funding for ANCHOR is expected from the Democratic majority, but lawmakers still need to vote on it.