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The Bottom Line is where Klatzkin’s advisors provide analysis and insight into key developments in taxation, accounting, and other issues and how they affect businesses and individual taxpayers.

NJ Announces New Property Tax Relief Application

By MICHELLE ROBB, CPA

February 4, 2025

In late January 2025, the state of New Jersey took a step toward streamlining the property tax relief process for senior citizens and disabled homeowners.  Instead of separate applications for ANCHOR, Senior Freeze, and the upcoming Stay NJ benefit, seniors aged 65 years and older and disabled homeowners will now only have to take care of one application with a single deadline for all programs.

The new application, called PAS-1, was introduced on the state’s website, along with completion instructions.  For now, taxpayers can download the paper application (which will also be mailed to over a million households by early March), but online filing will also become available in the coming weeks.  The PAS-1 will replace the Senior Freeze and ANCHOR applications, and it will also eventually include the Stay NJ benefit, coming in 2026.  Proof of property taxes paid will no longer be a requirement for filing, and the state will determine which programs the taxpayer is eligible for, calculating the benefits they are entitled to.  For previous ANCHOR recipients, taxpayers will no longer need an ID number and PIN to file for benefits.  For previous Senior Freeze recipients, not only does the application look different, but the income standards (total annual income limits) have changed:

  • 2023 – $163,050 or less; and
  • 2024 – $168,268 or less

The deadline to complete the new application is October 31, 2025, but taxpayers are encouraged to begin the application process early.  Benefits will start to be distributed in July 2025 on a rolling basis, as previously done.

The new combination application was the result of recommendations from the Stay NJ Task Force, which has been working to make the Stay NJ program a reality.  The Stay NJ program is a property tax relief program for residents 65 years and older who make less than $500,000 a year to cut property taxes by up to 50%, capped at $6,500.  In late 2025, residents who use the new PAS-1 application will receive a letter explaining how the benefits of each program were calculated.

Homeowners and renters under 65 years of age will not see any changes to the ANCHOR program.  For most taxpayers, they can still expect to receive a confirmation letter this summer indicating that the state is automatically filing ANCHOR applications on their behalf.

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If you have questions about the information outlined above or need assistance with another tax or accounting issue, Klatzkin can help. For additional information call 609-890-9189 or click here to contact us. We look forward to speaking with you soon.

About the Author

Michelle is a Partner in the firm’s tax practice focused on serving the planning and compliance needs of nonprofits, manufacturers and distributors, and professional service firms. She works closely with business owners and executive directors of nonprofits to manage their assurance and audit needs but primarily focuses on tax planning and compliance. While she enjoys...

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