The maximum deduction for Real Estate Taxes in New Jersey is $10,000. See this link to the State of NJ. TurboTax is up to date with the software for this deduction. If you enter higher than $10,000 in the Federal return for NJ Real Estate Taxes, only the $10,000 will transfer to the State return.
On the federal side, you can take the higher deduction for 2017.
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