PolicyEngine

NJ Child Tax Credit increase calculator

See the impact of New Jersey's enacted 25% Child Tax Credit increase (P.L.2026, c.26) on New Jersey households, statewide and by congressional district

New Jersey's enacted Child Tax Credit increase

As part of the FY2027 state budget, New Jersey enacted S-4531 (P.L.2026, c.26), which raises every New Jersey Child Tax Credit amount by 25% for tax years 2026 through 2028. Credit amounts revert to their prior levels in 2029. Eligibility is unchanged: the credit remains available per child age 5 or younger to filers with New Jersey taxable income of $80,000 or less. This dashboard reports household, statewide, and congressional district impacts of the increase relative to prior law for tax year 2026.

What changed

Each per-child credit amount rises 25% for tax years 2026 through 2028, then reverts to prior levels in 2029; the table below shows the amounts for all five income tiers. The $80,000 taxable-income ceiling and under-6 age limit are unchanged. This dashboard models tax year 2026, with impacts reported relative to prior law (the pre-increase amounts). Cost estimates, including external benchmarks, are on the Statewide impact tab.

Credit amounts per child (tax years 2026–2028)

NJ taxable incomePrior law (and 2029+)Enacted 2026–2028Change
$30,000 or less$1,000$1,250+$250
$30,001 – $40,000$800$1,000+$200
$40,001 – $50,000$600$750+$150
$50,001 – $60,000$400$500+$100
$60,001 – $80,000$200$250+$50

References