TRENTON, N.J. – New Jersey’s nation-worst business ranking has come to be expected annually, but surprisingly that has not deterred the state’s leaders from piling on.
In last year’s budget deal a 2.5 percent surcharge was levied on businesses earning over $1 million that would sunset after four years. Assemblyman Christopher DePhillips says that the temporary boost in revenue isn’t worth the negative affects it has on attracting business and creating jobs. He has proposed a bill (A5152) sun-setting the surcharge immediately.
“Trenton needs to change the conversation from ‘tax and spend’ to cutting spending,” said DePhillips (R-Bergen). “Instead of predicting new tax increases in the governor’s new budget, Trenton should take swift action to pass my legislation to rescind the massive CBT surtax increases passed by the Legislature in the last budget cycle. If we want businesses and jobs to stay in New Jersey, we need to stop a tax and spend philosophy that is driving up debt and driving businesses out of our state.”
United Van Lines found in its annual survey that New Jersey led the nation in outmigration as twice as many people moved out of state than in state. The number one reason cited according to those relocating was jobs.
The state’s debt has also been a harbinger of bad news, as state spending has been far more than revenues.
New Jersey currently has $221 billion of debt and has averaged just 91.3 cents of revenue for every dollar spent since Democrats took control of the legislature in 2002, according to Truth in Accounting and Pew Trusts, respectively.