Today, the full State Senate approved the Democrat-sponsored millionaires’ tax increase bill that passed the full Assembly on Monday.

Governor Chris Christie vows to veto the measure for the third time in three years. State Senator Shirley Turner sponsors the legislation in the Upper House and she’s well aware of Christie’s plans. She says, “I think he’s salivating. He’s waiting to veto it again because he’s done it twice already.”

The tax hike would generate $789 million in revenue that Democrats had hoped to fully dedicate to middle class property tax relief to help 95% of New Jersey's residents. The revenue would be dedicated to the Homestead Benefit Program, which pays credits against local property taxes, helping lower a homeowner's property tax bill.

“Everyone else, the working poor as well as the middle class has been asked to sacrifice to get us back on the economic road to recovery,” explains Turner. “It's only fair that we have everyone share in the sacrifice of paying more during this time of a deep recession…..This tax is nothing more than economic justice."

Christie says New Jersey's millionaires already pay high income taxes and hiking the tax would put the state at a competitive disadvantage in terms of surrounding states. He also feels millionaires are the job creators and if their taxes are increased they might flee the state. He promises to veto the bill, but has yet to say when he’ll do it.

 

New Jersey has approximately 16,000 millionaires, less than 1% of the state's total population. The tax increase kicks in only for every dollar earned over $1 million annually.