Taxes in New Jersey
Every state-level tax in New Jersey, in one place—income, sales, property, corporate, estate, transfer, and excise taxes. Figures sourced from the IRS, U.S. Census Bureau, and Tax Foundation.
New Jersey imposes the heaviest property tax burden in the country, with its state median county rate ranking 1st of 51. That top ranking signals a state where owning a home carries unusually steep annual costs, and it isn't an isolated distinction: the corporate tax also ranks 1st of 51, the highest nationally. For anyone considering a move or evaluating business costs, the pattern matters more than either figure alone—New Jersey sits at the extreme end on both counts. Budget accordingly, because the state's tax structure leans heavily on these two sources rather than spreading the load.
State income tax
10.75% 7 brackets · graduated.
Local income tax: Newark levies a payroll tax of 1%. See all local income taxes.
Sales tax
The combined state + local sales tax rate is 6.60%. State rate 6.63% plus an average -0.02% local.
Estate & inheritance tax
New Jersey has no estate tax, but levies an inheritance tax on beneficiaries (top rate 16%).
Real estate transfer tax
New Jersey levies a transfer tax of 0.98%–2.50%3 (graduated by price).
Cigarette Tax
New Jersey levies a cigarette tax of $3.00 per pack of 20. Federal excise adds $1.01 per pack.
Gas Tax
New Jersey levies a gas tax of 49.15¢ per gallon. Federal excise adds 18.4¢ per gallon. Excludes local taxes and environmental/carbon-related costs.
Beer Tax
New Jersey levies a beer tax of $0.120 per gallon. Federal excise adds $0.113–$0.581 per gallon depending on brewery size.
Wine Tax
New Jersey levies a wine tax of $0.880 per gallon. Federal excise adds $1.07 per gallon (11% still wine). MS, NH, PA, UT, WY are control states with no published excise rate.
Spirits Tax
New Jersey levies a spirits tax of $5.500 per gallon. Federal excise adds $5.40 per gallon (40% ABV). NH and WY are control states with an effective $0.00 rate.
Property tax by county
The state's median county effective property tax rate is 2.10%. Compare counties below for local rates.
Counties in New Jersey by property tax rate
| County | Effective rate | Median home value |
|---|---|---|
| Salem County | 2.93% | $239,500 |
| Camden County | 2.83% | $287,100 |
| Gloucester County | 2.60% | $310,400 |
| Mercer County | 2.36% | $377,700 |
| Warren County | 2.34% | $346,500 |
| Sussex County | 2.32% | $369,400 |
| Atlantic County | 2.30% | $295,000 |
| Cumberland County | 2.28% | $221,400 |
| Burlington County | 2.25% | $354,000 |
| Passaic County | 2.18% | $459,500 |
| Middlesex County | 2.10% | $462,900 |
| Hunterdon County | 1.93% | $517,200 |
| Essex County | 1.91% | $524,100 |
| Union County | 1.89% | $529,200 |
| Somerset County | 1.81% | $552,100 |
| Hudson County | 1.77% | $539,700 |
| Morris County | 1.72% | $582,500 |
| Monmouth County | 1.65% | $606,100 |
| Ocean County | 1.65% | $398,400 |
| Bergen County | 1.60% | $623,000 |
| Cape May County | 1.22% | $434,600 |