SENATE BUDGET AND APPROPRIATIONS COMMITTEE

STATEMENT TO

SENATE, No. 4909

STATE OF NEW JERSEY

DATED:  DECEMBER 8, 2025

      The Senate Budget and Appropriations Committee reports favorably Senate Bill No.4909.

      As reported, this bill increases the fees to be paid when filing an appeal of a property assessment with a county board of taxation.  These fees were last increased in 1979.

      The bill would increase the fees as follows:

      (1)  if the assessed valuation of the property under appeal is less than $150,000, the fee is increased from $5 to $25;

      (2)  if the assessed valuation of the property is $150,000 or more but less than $500,000, the fee is increased from $25 to $75;

      (3)  if the assessed valuation of the property is $500,000 or more but less than $1 million; the fee is increased from $100 to $150;

      (4)  if the assessed valuation of the property is $1 million or more, the fee is increased from $150 to $200;

      (5)  If the appeal involves only the classification of property, for each parcel of property sought to be reclassified, the fee is increased from $25 to $75 per parcel; and

      (6)  if an appeal is not related to the assessed value of the property, the classification of property, or both, the fee is increased from $25 to $75.

      Under current law, the revenue raised from these fees is required to be used by county boards of taxation exclusively for purposes related to the assessment of real property and the tax appeal process.

FISCAL IMPACT:

      The Office of Legislative Services (OLS) estimates that the bill will increase annual county revenues by approximately $620,000 to $700,000 beginning in calendar year 2026.  The OLS estimates that property tax assessment appeal filing fees generated $830,000 to $975,000 in annual county revenues from calendar years 2022 through 2025.  If the fee schedule proposed by the bill had been in effect during that time, counties would have collected $1.45 million to $1.65 million in property tax appeal filing fee revenues.

      Data available through the Department of the Treasury indicates that taxpayers filed 13,800 to 15,300 fee-generating property tax assessment appeals annually in calendar years 2022 through 2025.  This estimate assumes that the number of property tax appeals and property tax appeal filing fees will remain within these ranges.