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C.54A:6-34

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Note

P.L. 2025, CHAPTER 67, approved June 30, 2025

Assembly Committee Substitute (First Reprint) for

Assembly, No. 4455

An Act allowing an exemption from New Jersey gross income of certain capital gains from the sale or exchange of qualified small business stock and supplementing Title 54A of the New Jersey Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

     1.    Notwithstanding any law or regulation to the contrary, gross income shall not include net gains or income derived from the sale, exchange, or other disposition of qualified small business stock to the extent such ¹gains or¹ income ¹[is] are¹ exempt from federal taxation pursuant to section 1202 of the federal Internal Revenue Code of 1986 (26 U.S.C. s.1202).

     2.    This act shall take effect immediately and shall apply ¹[retroactively]¹ to taxable years beginning on or after ¹the¹ January 1 ¹[, 2025] next following the date of enactment¹.

     Allows exemption from New Jersey gross income of certain capital gains from sale or exchange of qualified small business stock.