TRENTON, N.J. –Stock exchanges have consistently warned that they will move out of New Jersey if a new transaction tax is implemented, even successfully testing alternate sites in other states, but that won’t stop some in Trenton from hearing more about the bill during a hearing Monday.
Assemblyman Ron Dancer has introduced a resolution (AR192) expressing a desire to keep data server farms in the state.
“These data server farms are a key part of our economy,” said Dancer (R-Ocean). “They provide revenue from income and property taxes, they provide jobs for people that support local businesses. To lose them because of a financial transaction tax would be a huge blow to our local economies, especially while we are in the process of recovery from the effects of the Covid-19 pandemic shutdowns.”
Ten years ago, northern New Jersey was the ideal home for data server farms, as multiple towns within proximity to New York City became hubs for stock trading. Fast forward ten years, these same companies are looking to pack their bags and move to a state that does not impose a financial transaction tax.
“We are taxing businesses out of New Jersey at an alarming rate,” said Dancer. “Every time a business leaves it costs jobs. No matter how few those jobs may be in the grand scheme of things, we are talking about the individual livelihoods of the people we are supposed to represent. Having jobs and feeding families is more important than feeding the government.”