The New Jersey Economic Development Authority (NJEDA) announced that it will open applications for the Food Desert Relief Tax Credit Auction and the New Jersey Innovation Evergreen Fund Tax Credit Auction.
Proceeds from the Food Desert Relief Tax Credit Auction will fund programs that increase access to healthy and affordable food in the state’s 50 Food Desert Communities (FDCs). The New Jersey Innovation Evergreen Fund Tax Credit Auction will support the Authority’s co-investments into N.J.-based innovative high-growth businesses through the New Jersey Innovation Evergreen Fund (NJIEF).
Up to $10 million in tax credits will be up for sale through the Food Desert Relief Tax Credit Auction, and proceeds will fund programs that advance the priorities established by the Food Desert Relief Act. These future grants, loans and/or technical assistance initiatives will complement the Food Desert Relief Tax Credit Program, a tax credit program to support the development and operation of new supermarkets in FDCs, by supporting other entities involved in strengthening food security, including smaller retailers and nonprofits.
The New Jersey Innovation Evergreen Fund Tax Credit Auction will sell up to $50 million in tax credits to fuel the NJIEF. Under the NJIEF, the state will become an equity investor in startups, deploying up to $600 million into companies alongside professional venture capital firms. This strategic investment will not only support New Jersey’s entrepreneurs but will also ensure that more companies start, grow and stay in the state.
The funds raised from the auction will later be matched by professional venture capital firms and invested into high-growth, early-stage businesses across the Garden State.
Both programs will offer corporations an opportunity to prepay their N.J. taxes at a discount, reducing their NJ Corporation Business Tax (CBT) or Insurance Premium Tax (IPT) liabilities, while also supporting important initiatives to benefit the state’s ecosystem.
Companies do not need to be in a food desert, in the food industry or in the innovation space to buy tax credits through the auctions. Companies can bid for tax credits at a discount of up to 15% to 25% through the Food Desert Relief Tax Credit Auction and the New Jersey Innovation Evergreen Fund Tax Credit Auction, respectively.
Applications for both auctions will open on September 2, 2025, at 10 a.m. and close on October 3, 2025, at 5 p.m. Applications for the Food Desert Relief Tax Credit Auction can be found here. Applications for the New Jersey Innovation Evergreen Fund Tax Credit Auction can be found here.
An informational webinar that will provide an overview of both auctions will be held on Thursday, July 31, 2025, at noon. For more information and to register for the webinar, click here.
