Murphy against more middle class taxes … except for all of these
Gov. Phil Murphy wants you to read his lips: No new taxes for the middle class.
But not just yet.
In its first year, the Murphy administration has proposed raising taxes in one of the highest taxed states in the county by $1.6 billion. Marking his 100th day in office, the Democrat said raising taxes to pay for new programs is “the right thing to do.”
But in an interview with NorthJersey.com, Murphy said middle class families should not expect to shoulder more of the tax burden in the future.
"If you’re in the middle class, the answer is no, that’s just not going to happen. And we’re being as explicit about that as possible," Murphy told the news organization.
While Murphy has proposed raising $765 million in taxes from millionaires and $110 million from changes to the corporate business tax, his other proposed taxes would be regressive, meaning they would disproportionately affect lower earners.
Murphy, for example, has proposed raising the sales taxes — which had been slightly lowered under Gov. Chris Christie to make up for a hike in the sales tax — back to 7 percent. The change would rake in an additional $610 million.
The administration also wants to tax marijuana if it is legalized, which would eventually bring in up $300 million.
Other proposed tax revenues include $65 million from e-cigarettes, $1.4 million from firearms sales, and millions more from taxes on "sharing economy" services like AirBnB, Uber and Lyft.
That last set of proposed taxes have been dubbed by Republicans as "millennial taxes," which the GOP says will push younger residents out of the state.
Some Democratic lawmakers have also urged caution on raising the so-called millionaire's tax, which critics say could also push affluent residents out of the state.
Murphy is looking to boost school aid, expand preschool, offer free community college and invest in NJ Transit.
Sergio Bichao is deputy digital editor at New Jersey 101.5. Send him news tips: Call 609-359-5348 or email email@example.com.
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