Sponsored by:
Senator LATHAM TIVER
District 8 (Atlantic and Burlington)
Senator JOSEPH PENNACCHIO
District 26 (Morris and Passaic)
SYNOPSIS
Urges Congress and US President to enact “No Taxes on Utility Bills Act.”
CURRENT VERSION OF TEXT
As introduced.
A Senate Resolution respectfully urging Congress and the President of the United States to enact the “No Taxes on Utility Bills Act.”
Whereas, New Jersey families and small businesses rely on affordable and reliable electricity and natural gas to heat and cool their homes and businesses and to meet basic daily needs; and
Whereas, Rising utility costs place a substantial burden on families, senior citizens, individuals living on fixed incomes, and small businesses that have limited ability to absorb increases in essential operating expenses; and
Whereas, In April 2026, United States Congressman Josh Riley of New York, alongside United States Congressman Jefferson Van Drew of New Jersey, introduced the “No Taxes on Utility Bills Act”; and
Whereas, Current federal tax law allows deductions for certain categories of taxes but does not include deductions for taxes and state-mandated surcharges embedded in utility bills; and
Whereas, The “No Taxes on Utility Bills Act” amends section 164(a) of the Internal Revenue Code of 1986 to allow taxpayers to deduct taxes and state-mandated surcharges included on gas and electric utility bills from their federal taxable income; and
Whereas, The “No Taxes on Utility Bills Act” applies to both residential and small-business ratepayers and would take effect for taxable years beginning after enactment; and
Whereas, Allowing taxpayers to deduct taxes and state-mandated surcharges included in their gas and electric utility bills would provide New Jersey residents with a meaningful measure of federal tax relief while recognizing that energy is an essential household and business expense; now, therefore,
Be It Resolved by the Senate of the State of New Jersey:
1. This House respectfully urges the United States Congress and the President of the United States to enact the “No Taxes on Utility Bills Act.”
2. Copies of this resolution, as filed with the Secretary of State, shall be transmitted by the Secretary of the Senate to the President of the United States, the Speaker and the Minority Leader of the United States House of Representatives, the Majority and Minority Leaders of the United States Senate, and each member of Congress elected from this State.
STATEMENT
This Senate resolution urges the United States Congress and the
President of the United States to enact the “No Taxes on Utility Bills Act.”
The “No Taxes on Utility Bills Act,” introduced by Congressman Riley of New York and cosponsored by Congressman Van Drew of New Jersey, provides federal tax relief by allowing taxpayers to deduct taxes and state-mandated surcharges included on their gas and electric utility bills from their federal taxable income. The legislation applies to residential and small-business ratepayers.