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From: wjm@whuxj.UUCP (MITCHELL)
Newsgroups: net.taxes
Subject: Re: Renter's Tax Breaks
Message-ID: <138@whuxj.UUCP>
Date: Tue, 28-Feb-84 15:07:45 EST
Article-I.D.: whuxj.138
Posted: Tue Feb 28 15:07:45 1984
Date-Received: Wed, 29-Feb-84 14:07:42 EST
Organization: Bell Labs, Whippany, N.J.
Lines: 16

In reply to Tim Giebelhaus' question (and to all you other folks out on the
net who wanted to but didn't ask).
NJ has a similar deal to MN, in which a tenant in NJ receives a $65 credit
against one's state income tax (the credit is $100 for senior citizens and
some other people) in lieu of property tax rebates (since one is paying
property taxes through one's rent).
This is not double taxation since this credit is not income for Federal or NJ
income tax purposes but does reduce one's state income tax.  This will
INCREASE your Federal tax since it reduces the state tax that you can deduct
but since the maximum tax rate in the USA is less than 100% you come out ahead
of the game.
Bill Mitchell
Bell Communications Research, Inc.
Whippany, NJ (whuxj!wjm)
maximum tax rate was 107% - you earn an additional pound, you pay 1 pound 7
pence to London - ever wonder why there are so many British tax exiles?)