Do I need to enter the Homestead Benefit anywhere on the NJ State or Federal Return?

[leeleses]

From what I can see, it looks like you get it through a direct reduction to your quarterly property tax bill, is that correct?  Thank you!

[rjs]

In most cases you get the NJ Homestead Benefit as a credit on your property tax bill. It's usually credited twice a year, for the May and November payments, not quarterly.

You do not enter the Homestead Benefit in your federal tax return. But if you are itemizing deductions you can only claim the amount of property tax that you actually paid.

In your New Jersey tax return, when you enter the amount of property tax that you paid, if you received the Homestead Benefit as a credit on your property tax bill, enter the amount you actually paid plus the Homestead Benefit. But if you received the Homestead Benefit as a check, enter only the amount of property tax that you actually paid.

[fanfare]

@rjs   "enter the amount you actually paid plus the Homestead Benefit"

Doing this would be taking a deduction for taxes you did not pay. That's a no-no.

[rjs]

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@fanfare wrote:

@rjs   "enter the amount you actually paid plus the Homestead Benefit"

Doing this would be taking a deduction for taxes you did not pay. That's a no-no.

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@fanfare  It is explicitly allowed on the New Jersey tax return. The instructions tell you to do it that way. The following is from the instructions for Form NJ-1040, page 24.

[fanfare]

Looks like I've been missing out on a big deduction for about thirty years !

It still sounds backwards to me. 

[leeleses]

It DOES in fact say exactly that on page 24!

The question then becomes when the township of north Brunswick 3rd and 4th quarter tax bill in their "explanation of taxes" says "total 2019 net tax", how can I figure out if that number given as the net tax includes or does not include the homestead credit(s) added already to that total?  It's not clear at all. 

And are there two credits over the year, is that right?  I have one adjusted bill here that shows on of the credits -- not sure if there should be another bill like that here somewhere!

[fanfare]

depending on what the legislature is up to , you may get one rebate or two.

Since times are tough now, there may be no rebate in 2020.