Irene2805
Expert Alumni

Get your taxes done using TurboTax

Disability payments are not taxable on your NJ return, according to NJ Dept. of Taxation FAQs 

 

To exclude NJ State Disability income from your NJ return go to the Other Wage Adjustments - W2 screen while you are in the NJ return.  Just enter the Description and Amount (as a negative number).  [See screenshot below.]

 

 

 

@lostinthoughts