2026 tax year · New Jersey
Marketplace seller taxes in New Jersey
Etsy, eBay, Shopify and the rest report your gross and withhold nothing. The gap between that and what you are actually taxed on is your costs, in New Jersey that gap is worth $6,518 in tax.
Take a driver who grossed $45,000 over 18,000 business miles. After mileage at 74.3 cents and the rest of the stack, worked through on the marketplace seller page $26,775 comes off and $18,225 is left as taxable profit. That profit is what New Jersey and the IRS charge against.
What that leaves you owing in New Jersey
New Jersey uses graduated 2026 income tax brackets topping out at 10.75%, across 7 brackets, on top of federal income tax and self-employment tax.
| Self-employment tax | $2,575 |
| Federal income tax | $67 |
| New Jersey income tax | $237 |
| Total tax | $2,879 |
| Effective rate on gross | 6.4% |
Earning more in New Jersey
A single filer taking the standard deduction, this work as the only income, the calculator above handles the other filing statuses. Miles rise with earnings, so the deduction rises too, and the effective rate on gross climbs more slowly than it would for someone whose income grew without expenses attached:
| Volume | Gross | Mileage off | Taxable profit | New Jersey tax | Total tax | Rate on gross |
|---|---|---|---|---|---|---|
| Part-time | $15,000 | $0 | $15,000 | $195 | $2,315 | 15.4% |
| Steady side income | $45,000 | $0 | $45,000 | $818 | $9,398 | 20.9% |
| Full-time | $72,000 | $0 | $72,000 | $2,206 | $17,009 | 23.6% |
Switching state opens that state's page.
Enter your numbers and press Calculate to see your 2026 estimate.
New Jersey specifics that change the number
New Jersey runs a state disability insurance program: 0.6% up to $161,400 of wages. NJ SDI mandatory for employees. SE may not be subject.
Selling into and out of New Jersey
Income tax follows you: New Jersey taxes your profit wherever the buyer was. Sales tax does not. Marketplace facilitator laws make the platform collect and remit sales tax on your behalf in most states, which is why a seller can have customers in all fifty and still file only one income tax return. Selling off-platform is where that stops being true.
On $18,225 of profit, what the states around New Jersey would charge:
| State | Its tax | vs New Jersey |
|---|---|---|
| Pennsylvania | $560 | +$304 |
| Delaware | $656 | +$401 |
| New York | $734 | +$479 |
- Pennsylvania would take $304 more, $560 against New Jersey's $255.
- Delaware would take $401 more, $656 against New Jersey's $255.
- New York would take $479 more, $734 against New Jersey's $255.
Marketplace seller tax questions in New Jersey
How much should a New Jersey seller set aside?
About 6.4% of gross on the $45,000 example, $2,879 across self-employment tax, federal income tax and $237 to New Jersey. Set aside from each payout rather than finding it in April.
Does the $45,000 on my 1099-NEC match what New Jersey taxes?
No. New Jersey taxes profit, not gross. After $26,775 of deductions the taxable figure is $18,225, so the New Jersey bill is $237 rather than what gross alone would suggest.