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The Five-Year Exemption and Abatement Law (N.J.S.A. 40A:21.1 et seq.) authorizes municipalities to grant short-term tax abatements and exemptions for home improvements, commercial and industrial improvements, and the improvement or conversion of multiple dwellings.
General Tax Information 609-826-4400 or 1-800-323-4400. Listen to prerecorded information on common tax issues.
The Long Term Tax Exemption law authorizes municipalities to enter into financial agreements with urban renewal entities. Department approval of the paperwork creating the urban renewal entity is required prior to filing the paperwork with the Department of Treasury (formerly Secretary of State) or county clerk.
Other Exempt Properties Certain historic properties. Conservation or recreation land owned by non-profits. Dedicated pet cemeteries. Parsonages. Property owned by medical service corporations or dental service corporations or New Jersey School Boards Association.
40A:21-1 et al. (the ?Abatement Law?). Under the Abatement Law, an ?exemption? is when the full value of an improvement is not regarded as increasing a property's taxable value. An ?abatement? is when part of the property is assessed as it existed before the improvement, which is then exempt from the taxation.
The purpose of the Five Year Exemption and Abatement Law is to encourage new commercial and industrial development, thereby, increasing the commercial ratable base, whereby, alleviating some of the tax burden from the residential property owners.
Other Exempt Properties Certain historic properties. Conservation or recreation land owned by non-profits. Dedicated pet cemeteries. Parsonages. Property owned by medical service corporations or dental service corporations or New Jersey School Boards Association.
You can appeal an added or omitted assessment by filing Form AA-1 with your County Board of Taxation. NOTE: If the aggregate assessed valuation of the property exceeds $750,000, the appeal may be made directly to the Tax Court of New Jersey.