file photo by Boyd Loving
JOHN REITMEYER | APRIL 12, 2017
Majority of New Jerseyans back tax hike on the rich — if revenue is used for education and public pensions
A recent public opinion poll revealed an overwhelming number of New Jersey voters would support hiking taxes on those with incomes over $1 million if the new revenue is used to boost education aid or increase public-employee pension payments, two areas the state has been underfunding by billions of dollars in recent years.
But the results of a new survey of New Jersey’s certified public accountants raised concerns that such a change in tax policy could ultimately deliver a bad outcome for the state budget, especially if it chases wealthy residents and small-business owners out of New Jersey to other states with lower tax rates.
The rekindling of the debate over just how much New Jersey should be taxing its wealthiest residents comes just as lawmakers are evaluating Gov. Chris Christie’s latest state budget proposal. Christie’s $35.5 billion spending plan for the new fiscal year that begins in July holds the line on taxes, which has drawn praise from Republicans, but also continues the practice of underfunding the state’s school aid and pension contributions, which is something many Democrats have criticized.
