Federal vs. New Jersey State tax returns is often very similar to federal tax returns, following many
Question:
Federal vs. New Jersey State tax returns is often very similar to federal tax returns, following many of the same regulations. For that matter, there are several states that begin their calculation with Federal AGI or Federal taxable income and make positive and negative adjustments with the Federal number as a starting point. In the great state of New Jersey, we make our own rules. We are what is known as a gross income state, and we have made our own determinations as to the taxability of items such as pensions, disability pay, gains, and losses. We also don't allow many of the same deductions from gross income as the federal return, though we have a few of our own... For this forum post, I would like you to identify one difference between Federal and NJ tax treatment, whether it's related to income or deductions. Please identify your item in the title of your forum.
