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New Jersey Democrats push “Hail Mary” property tax legislation

trenton nj


February 24,2018

the staff of the Ridgewood blog

Ridgewood NJ, New Jersey Democrats push “Hail Mary” saying that they will be moving ahead with a legally-dubious plan to let residents make charitable contributions in lieu of property taxes, promising to vote on the bill in the state Senate on Monday and threatening to take the fight to court if necessary.

The bill (S1893) is designed to be a workaround to the new federal tax law that capped the state and local tax deduction at $10,000, a move that Democrats say will harm high-tax states like New Jersey, which has the highest property taxes in the nation. Average property taxes in Bergen County in 2017 were $11,564 . The new Federal rules allow deductions of up to $10,000 . The $10,000 limit on deductions is for state and local taxes and will take effect in 2018. That $10,000 limit combines both local property and income taxes.

The legislation would effectively allow homeowners to keep deducting their property taxes by calling those payments charitable deductions. Under the bill, local governments would be permitted to set up charitable funds for specific public purposes—from police to parks—that residents could pay into and get a credit of up to 90 percent toward their property tax bills. Those contributions could then be written off as charitable deductions on federal tax bills, officials said. It’s unclear whether the plan withstands legal and IRS scrutiny.

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Obamacare Delay another Hail Mary as the clock runs down to the November elections


Obamacare Delay another Hail Mary as the clock runs down to the November elections
The Post reports: “For the second time in a year, the Obama administration is giving certain employers extra time before they must offer health insurance to almost all their full-time workers. Under new rules announced Monday by Treasury Department officials, employers with 50 to 99 workers will be given until 2016 – two years longer than originally envisioned under the Affordable Care Act – before they risk a federal penalty for not complying.”

For larger companies it is even worse: “Instead of being required in 2015 to offer coverage to 95 percent of full-time workers, these bigger employers can avoid a fine by offering insurance to 70 percent of them next year.”

Except for the die-hard Obama spinners, there was widespread recognition that this is another Hail Mary as the clock runs down to the November elections.