CASAGRANDE AND O’SCANLON: NEW JERSEY RETAINING ‘HIGHEST TAX’ CHAMPIONSHIP IS NOTHING TO BE PROUD OF

CASAGRANDE AND O’SCANLON: NEW JERSEY RETAINING ‘HIGHEST TAX’ CHAMPIONSHIP IS NOTHING TO BE PROUD OF          

As the latest survey on taxes was released yesterday that showed New Jersey residents pay the highest combined percentage of state and local taxes in the country, Assemblywoman Caroline Casagrande and Assemblyman Declan O’Scanlon said that retaining the ignominious distinction for the third year in a row is not surprising.  The  Tax Foundation, a fiscal policy organization based in Washington D.C., compiled the data showing taxpayers paid 11.8% of their income in state and local taxes, followed by New York at 11.7% and Connecticut at 11.1%.

“This is just the latest confirmation that our state continues to be viewed in a negative light,” stated Casagrande (R – Monmouth, Mercer).  “Whether you read the Tax Foundation Report, the survey by the Pew Center on the States, findings by Rutgers University on economic conditions and job losses, or surveys by business throughout the state, the consistent theme is that New Jersey carries an unfavorable reputation as a place to live and work.”

“Instead of working to provide tax relief to our residents and making New Jersey a more affordable place to live, the administration is defensive about the unflattering results,” commented O’Scanlon.  There was no myopia involved when property taxes were such a high priority among the voters that convening a constitutional convention was considered and the bond issue for funding stem cell research was soundly rejected.  That is the realization that residents are fed up with policies that hit them in their wallets. The administration cannot blindly ignore the overwhelming evidence that our state needs fixing.”

O’Scanlon was referring to a comment by a Treasury official who characterized the report as a “myopic snapshot” with no basis in reality.  The official also stated that the report is biased against states in the northeast which have among the highest household incomes and the best quality of life in the nation.  Further, the Tax Foundation study also failed to take into account the states economic stability over time, according to the spokesperson.

“While it is true that New Jerseyans earn among the highest household incomes, that doesn’t justify why we pay a combined 11.8% of our income in state and local taxes,” added Casagrande.  “We should be looking for reasons to encourage people to move into New Jersey instead of attacking an unflattering report.  Maintaining the status quo isn’t good enough when other states, particularly those on our border, are attracting our residents and businesses.  The evidence supporting those trends is irrefutable.”

“Our state budget has been bloated for many years.  Increases in government spending have led to our stranglehold on this “championship,” added O’Scanlon, who is also a member of the Assembly Budget Committee.  “Our government’s propensity for living beyond its means has contributed to these results and our reputation as a highly taxed state.  Whether New Jersey is first, second, or third in the survey, it is still unacceptable.  People want relief from government, not a rationalization as to why they are taxed so highly.”

                                ######