Changes to ANCHOR Property Tax Relief

By Margie Donlon and Luanne Peterpaul

Luanne Peterpaul & Margie Donlon

The state Department of Treasury is making changes in how and when homeowners and renters apply for this year’s ANCHOR property tax relief benefit, which is based on the 2021 tax year.

ANCHOR replaced the old Homestead Rebate program several years ago and expanded the property tax relief to renters. We want to make sure residents understand the changes and are aware of the earlier filing deadlines for this year’s programs. The amounts of the ANCHOR benefit amounts remain the same: up to $1,500 for homeowners whose gross New Jersey income was $150,000 or less in 2021 and $1,000 for households with gross 2021 income of $150,001 to $250,000. Renters are eligible for an ANCHOR benefit of $450. Senior homeowners and renters will receive an additional $250.

The state Treasury Department began sending notification letters on August 19 to 1.5 million New Jersey taxpayers to let them know their ANCHOR applications will be filed automatically. Homeowners and renters who receive this letter and whose eligibility information the state already has don’t need to do anything to get their benefits unless their information has changed since last year.

On August 26, Treasury will begin mailing application packets to homeowners and renters who did not receive the first letter. The packets – green for homeowners and purple for renters – will have the all-important ID number and PIN needed to complete the application.

One new thing this year: If their information has changed, residents who received the ANCHOR benefit in a previous year, whether they get a letter or an application packet this year, must file a brand new application by September 15, 2024. For example, if you have a different bank account for direct deposit or a change in marital status, you will have to file a brand-new application. Please note that the September 15 deadline is considerably earlier than previous years.

If this year is the first time you are applying for ANCHOR property tax relief, you have until Nov. 30, 2024, to file your application. Please note this deadline for first-time applicants is nearly a month earlier this year.

The Treasury Department will require some applicants to go through an extra layer of identification verification called ID.me, regardless of whether their information has changed or remains the same. Those residents will be notified when they log in to anchor.nj.gov if they must take the extra step. If you do have to file a new application, we urge you to get started on it now because the September 15 deadline is just three weeks away. Our Legislative District 11 office will be happy to send you an application, assist you in completing the application or to answer any questions you may have. Please call our constituent services staff at (732) 695-3371 for an application or assistance.

Another change this year: The Treasury Department has eliminated any requirements to file a paper application, although paper applications will still be available for people who are not comfortable filing online. This year the state has a new secure portal where residents who need to submit supporting documents, like a change of marital status, can upload them.

If you need help with your application, please call our office at (732) 695-3371, or the ANCHOR hotline at (888) 238-1233 or (609) 826-4282.

We are happy to help.