From NJ1015:
GOP plan for ‘once-in-a-lifetime opportunity’ to cut NJ taxes
Assembly Republicans want to cut income taxes as part of the new state budget, part of a four-pronged plan for responding to an unprecedented surge in state revenues and surplus.
Assembly Minority Leader John DiMaio, R-Warren, said the tax brackets haven’t been adjusted in nearly a quarter-century – and that given inflation rates and the state’s multi-billion surplus, now is the time.
“It’s going to give long-term, sustainable relief to many, many New Jerseyans, particularly those on the lower end of the scale,” DiMaio said.
Taxes would be reduced on income under $128,455 for a single taxpayer and $256,910 for a married couple. Savings would amount to $1,600 for a married couple earning $110,000 or $1,000 for a single taxpayer with income of $70,000, DiMaio said.
The 1.75% tax bracket that currently starts at $20,000 of income for a single-filer taxpayer would be applied starting at $34,255, according to the proposal. The 3.5% rate would start at $59,946, rather than $35,000; the 5.525% rate at $68,510, rather than $40,000; and the 6.37% rate at $128,455, rather than $75,000.
For married couples filing jointly, all those income thresholds are doubled. The plan also eliminates a 2.45% bracket that currently applies to married couples on their income between $50,000 and $70,000, described by critics as a marriage penalty in the tax code.
