I lost my job in March 2022 and didn't work for the rest of the year. I did not purchase health insurance because COBRA was way too expensive. I had rental income for a few more months, then sold the rental property in December which generated a large capital gain. Now NJ calculated my share responsibility payment based on my household income, nearly 90% of which is capital gains. If I tried to apply for exemption, the instructions tell me to use the same number. But the household income is very artificially inflated. What if I did not sell the rental property? Also, the capital gains include recaptured depreciation. What can I do? Please help!
Thank you!
