Jersey City, NJ Taxes 2025
Complete local tax guide and OBBBA calculator
On This Page
Jersey City Tax Overview 2025
NYC suburb with high property values and taxes.
Local Income Tax
0%
City/county rate
Sales Tax
6.63%
State + local
Property Tax
1.84%
Effective rate
Median Home
$520,000
Home value
No Local Income Tax!
Jersey City does not impose a local income tax on residents, which means you only pay state income tax (if applicable) and federal taxes.
State Tax Information
Jersey City is located in New Jersey (1.4% - 10.75% state income tax)
💼 Jersey City Local Income Tax
Jersey City does not impose a local income tax on residents. Your income tax obligations are limited to state income tax (if applicable in New Jersey) and federal income tax.
This is good news for Jersey City residents, as it means one less tax to worry about compared to cities that do impose local income taxes.
Total Income Tax Burden in Jersey City
🛒 Jersey City Sales Tax 2025
The combined sales tax rate in Jersey City is 6.63%. This includes both the New Jersey sales tax and any local sales taxes.
Sales tax applies to most retail purchases in Jersey City. Some items like groceries, prescription medications, and clothing may be exempt or taxed at reduced rates depending on New Jersey law.
Sales Tax Breakdown
Sales Tax Examples
| Purchase Amount | Sales Tax | Total |
|---|---|---|
| $50 | $3.31 | $53.31 |
| $100 | $6.63 | $106.63 |
| $500 | $33.13 | $533.13 |
| $1,000 | $66.25 | $1,066.25 |
🏠 Jersey City Property Tax 2025
The average effective property tax rate in Jersey City is 1.84%. Based on the median home value of $520,000, the typical homeowner pays approximately $9,568 per year in property taxes.
Property taxes fund local services including schools, police, fire departments, roads, and parks. Rates vary by specific location within Jersey City based on school district and other taxing authorities.
Estimated Annual Property Tax in Jersey City
| Home Value | Annual Tax | Monthly | SALT Deductible? |
|---|---|---|---|
| $200,000 | $3,680 | $307 | ✓ Yes |
| $300,000 | $5,520 | $460 | ✓ Yes |
| $400,000 | $7,360 | $613 | ✓ Yes |
| $500,000 | $9,200 | $767 | ✓ Yes |
| $750,000 | $13,800 | $1,150 | ✓ Yes |
| $1,000,000 | $18,400 | $1,533 | ✓ Yes |
💡 SALT Tip: Under the OBBBA, you can deduct up to $40,000 in state and local taxes (SALT) on your federal return. This includes property taxes, state income taxes, and local income taxes.
💰 Jersey City Cost of Living
Housing Costs
Tax Summary
OBBBA Tax Benefits for Jersey City Residents
High SALT makes the $40K cap increase very valuable.
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, introduced several federal tax deductions that can significantly reduce your tax burden as a Jersey City resident.
Available OBBBA Deductions:
Calculate Your Jersey City Tax Savings
Use our free OBBBA calculator to see exactly how much you could save on your 2025 federal taxes as a Jersey City resident.
Calculate My SavingsFrequently Asked Questions
What is the sales tax in Jersey City?
The combined sales tax rate in Jersey City is 6.63%. This includes both state and local sales taxes.
Does Jersey City have a local income tax?
Jersey City has a local income tax of 0%. This is in addition to any state and federal income taxes.
What is the property tax rate in Jersey City?
The average effective property tax rate in Jersey City is 1.84%. On a home worth $520,000, you'd pay approximately $9,568 per year.
How do OBBBA deductions benefit Jersey City residents?
High SALT makes the $40K cap increase very valuable. You can use our free calculator to estimate your total savings from tips, overtime, auto loan interest, SALT, and senior bonus deductions.