Taxing Facts To Consider During New Jersey’s Government Shutdown
Before the state government shutdown, we proposed a simple solution to the budget impasse, pass last year’s budget and use all that increased revenue from existing taxes to keep the state moving right along. Others have joined our call and it looks as though our plan would be consistent with the Supreme Court’s Lance v. Codey decision.
In any event, Corzine is toying with the idea of self-financing an ad campaign about the shutdown so he can speak directly to voters. It would be similar to the ads New Jersey’s public employee unions ran to rally taxpayers to support the Governor’s tax hikes. Only this time, the more charismatic Corzine will make the pitch.
But before you fall under the spell of Corzine’s magic, consider this:
From fiscal year 2002-2006, New Jersey raised taxes a cumulative $11.8 billion, which is $1,358 per person. For a family of four this would represent an additional $5,432 in additional taxes paid to New Jersey’s state government.
Governor Corzine will be pushing for the largest tax increase among all 50 states for fiscal year 2007, while some states are significantly cutting taxes. If Corzine’s proposed tax increases go through, the cumulative total for tax increases will reach $17 billion, $1,951 per person and $7,804 for a family of four since fiscal year 2002.
Excluding New Jersey from the national totals, the average cumulative tax increases for the country in the same time period was just $290 per person and $1,160 for a family of four. If Corzine prevails, New Jersey will have raised taxes nearly seven times the national average since fiscal year 2002.