Quote:
Originally Posted by pivo
I'm so confused now I understand if you sell jersey home and move to Fl. you now have to claim residency in Fl. which in case is called an exit tax because of changing residency.
It will probably change tomorrow like everything else in this state
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I sold a house in NJ. The 2% is not an exit tax, it's a mandatory withholding for estimated tax for non residents. (see line 1117 of the HUD-1) When you file your NJ non resident income tax return, if you had a gain on the house per NJ law you will have that estimated payment applied to the tax due on the gain. If you didn't have a gain, you will get the estimated payment refunded to you.
BTW, the tax on the house gain is also due for a NJ resident but they are not required to put the estimated payment up front as they are not "fleeing" the state.
Hope that helps.