NJ Division of Taxation - ANCHOR Program (2024)

Gross Income

Deceased Homeowners

If you are an executor or surviving spouse/civil union partner, filing on behalf of an eligible homeowner who died on or after October 1, 2021, you must file a Special Circ*mstances Application. You will be able to attach supporting documents with the application (i.e., death certificate).

Do not include the deceased spouse's name on the application.

Estates

If you file on behalf of an estate, we will issue the approved benefit in the name of the estate. You should speak to your bank and/or seek guidance from your attorney prior to closing the estate bank account.

Ineligible Properties

You may not claim an ANCHOR benefit if:

• Your principal residence (main home) was completely exempt from paying property taxes;
• You made P.I.L.O.T. (Payments-in-Lieu-of-Tax) payments to your municipality. These payments are not considered property taxes for purposes of the ANCHOR benefit for homeowners.

You are not eligible to claim a benefit for a:

• Vacation home;
• "Second home;"
• Property you owned and rented to someone else.

Condominiums and Co-ops

Continuing Care Communities

If you were a resident of a continuing care retirement community and your continuing care contract required you to pay the proportionate share of property taxes attributable to the unit, you are considered a homeowner for purposes of applying for the ANCHOR benefit. You are not considered to be living in a multiple-unit property. Answer "no" to the multi-unit question when filing.

Assisted Living Facilities (ALFs). If you own a home, but were a temporary resident of an ALF, and you maintained your primary domicile, you are eligible to apply for the ANCHOR benefit. You must file for the home that you owned on October 1 of the application year.

If you remain in an ALF and permanently changed your primary domicile to the facility address, you should not file the application.

What You Need to File

What You Need to File

You will need the assigned property identification number and PIN/Passcode of your principal residence (main home) you owned and occupied on October 1, 2021, to file online. Also, be prepared to provide your:

• Social Security number (SSN) or Individual Taxpayer Identification Number (ITIN) and, if applicable, the SSN/ITIN of your spouse or civil union partner;
• New Jersey gross income from line 29 of your 2021 or 2023 NJ-1040. (If you are not required to file an NJ-1040 for either 2021 or 2023, report "0.");
• 2021 filing status;
• Date of birth and, if applicable, your spouse's/CU partner's date of birth;
• Driver's License or state Non-Driver Identification Card number.

You will also be asked if:

• You owned the property with someone who is not your spouse/CU partner. If yes, what percentage did you own?

  If you owned the property with someone who was not your spouse/civil union partner and there is no percentage preprinted on your application, you must file a Special Circ*mstances Application.

• The property had more than one unit. If yes, what percentage of the property did you use as your main home?

  If the property consisted of more than one residential unit and there is no percentage preprinted on your application, you must file a Special Circ*mstances Application. You do not qualify if your property has more than four units or if it has more than one commercial unit.

Confirmation Number

If you received an "ANCHOR Benefit Confirmation Letter," keep the letter as proof of your eligibility. We will file an application on your behalf. You may check the status of your benefit. If any of the information in your letter needs to be changed, file an application online.

If you filed online, you must choose CONFIRM at the end to receive your confirmation number. Keep this number for your records as proof that you filed an ANCHOR application.

What You Need to File Online

• Social Security number (SSN) / Individual Taxpayer Identification number (ITIN) and, if applicable, the SSN/ ITIN of your spouse or civil union partner;

  • New Jersey gross income from line 29 of your 2021 or 2023 New Jersey Income Tax return (NJ 1040). If you are not required to file an NJ-1040, report"0.";
  • 2021 filing status;
  • Date of birth and, if applicable, your spouse's/CU partner's date of birth.

• You will also be asked:

  • If you/spouse/CU partner were blind/disabled as of December 31, 2021;
  • If you shared rent with anyone other than your spouse/CU partner on October 1, 2021;
  • For the names of all other renters, if any, sharing the rent on that property;
  • For your routing and account number from your bank, if requesting a direct deposit of your benefit.

Confirmation Number

If you received an "ANCHOR Benefit Confirmation Letter," the letter is your confirmation of filing. Keep the letter for your records. If you file online, you must choose CONFIRM at the end to receive your confirmation number. Keep this number for your records as proof that you filed an ANCHOR application.

Gross Income

Deceased Renters

If an eligible renter died before filing an application, either the surviving spouse/civil union partner or a personal representative should file the application.

Surviving Spouse/Civil Union Partner. Enter only your name on the application, even if your spouse/CU partner died during 2021 and your filing status is married/CU couple, filing joint return.

Personal Representative. If you are filing on behalf of an eligible renter who died on or after October 1, 2021, you must:

• Enter the decedent's last name, first name, and initial, followed by "estate of;" and
• Enter the mailing address where the check is to be sent (if not choosing direct deposit); and
• Check the box indicating the renter is deceased. You may be asked for documentation at a later date.

A personal representative filing on behalf of a deceased renter must sign in his or her official capacity. If it is a joint application, the surviving spouse/civil union partner must also sign (if filing by paper).

If there is no personal representative for the deceased renter, the spouse/CU partner signs the application and writes "Filing as Surviving Spouse" or "Filing as surviving Civil Union Partner" in the signature section (if filing by paper).

Estates

If you file on behalf of an estate, we will issue the approved benefit in the name of the estate. You should speak to your bank and/or seek guidance from your attorney prior to closing the estate bank account.

Qualified and Non-Qualified Rental Properties

The address you use to claim the ANCHOR benefit must have been your main home on October 1, 2021. In general, your residence must have been subject to property tax.

Qualified Rental Properties

P.I.L.O.T (Payment In Lieu Of Taxes). There is one type of property that is exempt from the property tax requirement. Renters who lived in rental units that operate under a P.I.L.O.T agreement with their municipality are eligible to apply for the ANCHOR benefit.

Mobile Homes. If you owned or rented a mobile home that was located in a mobile home park, you are considered a renter for purposes of applying for the ANCHOR benefit.

Condominiums and Co-ops. If you rented a condominium unit or a unit in a cooperative housing complex, you are considered a renter for purposes of applying for the ANCHOR benefit.

Non-Qualified Rental Properties

Renters who lived in the following types of residences do not qualify to apply for the ANCHOR benefit:

• Tax-exempt housing or other residences owned by New Jersey, county, municipal, or federal government;
• On-campus apartments at New Jersey colleges and universities;
• Residences owned by religious, charitable, or other non-profit organizations (including on-campus apartments at private nonprofit colleges and universities); and
• All other properties exempt from local property taxes.

If you are not sure whether the residence you rented was subject to local property taxes, contact your building manager or the municipal tax assessor for information.