New Jersey
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ITEP Work in Action December 20, 2017 New Jersey Policy Perspectives: Failure to Act on DACA and Dream Act Would Harm New Jersey’s Tax Revenues
There are 53,000 young immigrants who were potentially eligible for DACA that call New Jersey home. They have attended our public schools, graduated high school and many have enrolled in… -
December 16, 2017 How the Final GOP-Trump Tax Bill Would Affect New Jersey Residents’ Federal Taxes
The final tax bill that Republicans in Congress are poised to approve would provide most of its benefits to high-income households and foreign investors while raising taxes on many low-… -
December 6, 2017 How the House and Senate Tax Bills Would Affect New Jersey Residents’ Federal Taxes
The House passed its “Tax Cuts and Jobs Act” November 16th and the Senate passed its version December 2nd. Both bills would raise taxes on many low- and middle-income families in every state and provide the wealthiest Americans and foreign investors substantial tax cuts, while adding more than $1.4 trillion to the deficit over ten years. The graph below shows that both bills are skewed to the richest 1 percent of New Jersey residents.
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blog November 14, 2017 House Tax Plan Offers an Exceptionally Bad Deal for California, New York, New Jersey, and Maryland
An ITEP analysis reveals that four states would see their residents pay more in aggregate federal personal income taxes under the House’s Tax Cuts and Jobs Act. While some individual taxpayers in every state would face a tax increase, only California, New York, Maryland, and New Jersey would see such large increases that their residents’ overall personal income tax payments rise when compared to current law.
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November 14, 2017 How the Revised Senate Tax Bill Would Affect New Jersey Residents’ Federal Taxes
The Senate tax bill released last week would raise taxes on some families while bestowing immense benefits on wealthy Americans and foreign investors. In New Jersey, 50 percent of the federal tax cuts would go to the richest 5 percent of residents, and 22 percent of households would face a tax increase, once the bill is fully implemented.
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November 6, 2017 How the House Tax Proposal Would Affect New Jersey Residents’ Federal Taxes
The Tax Cuts and Jobs Act, which was introduced on November 2 in the House of Representatives, includes some provisions that raise taxes and some that cut taxes, so the net effect for any particular family’s federal tax bill depends on their situation. Some of the provisions that benefit the middle class — like lower tax rates, an increased standard deduction, and a $300 tax credit for each adult in a household — are designed to expire or become less generous over time. Some of the provisions that benefit the wealthy, such as the reduction and eventual repeal of the estate tax, become more generous over time. The result is that by 2027, the benefits of the House bill become increasingly generous for the richest one percent compared to other income groups.
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October 4, 2017 GOP-Trump Tax Framework Would Provide Richest One Percent in New Jersey with 82.4 Percent of the State’s Tax Cuts
The “tax reform framework” released by the Trump administration and congressional Republican leaders on September 27 would not benefit everyone in New Jersey equally. The richest one percent of New Jersey residents would receive 82.4 percent of the tax cuts within the state under the framework in 2018. These households are projected to have an income of at least $1,105,200 next year. The framework would provide them an average tax cut of $73,950 in 2018, which would increase their income by an average of 2.3 percent.
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ITEP Work in Action September 15, 2017 New Jersey Policy Perspective: Reforming New Jersey’s Income Tax Would Help Build Shared Prosperity
Today, the most well-off New Jerseyans hold a greater share of the state’s income than they have in nearly a century, thanks to decades of unequal economic growth, creating an off-balance economy in which many middle- and lower-income New Jerseyans face barriers to economic opportunity. Recent tax policy changes have exacerbated this trend.
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ITEP Work in Action September 12, 2017 New Jersey Policy Perspective: Reforming New Jersey’s Income Tax Would Help Build Shared Prosperity
These reforms would also make New Jersey’s tax system more equitable, but it would not undo the tax code’s upside-down nature, in which low-income and middle-class New Jerseyans pay greater shares of their incomes to state and local taxes than wealthy residents. With these changes, this inequity would be slightly evened out. The share paid by the top 1 percent would rise to 7.7 percent from 7.1 percent, but that would still be lower than any other group of New Jersey families.
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August 17, 2017 In New Jersey 57.2 Percent of Trump’s Proposed Tax Cuts Go to People Making More than $1 Million
A tiny fraction of the New Jersey population (1.2 percent) earns more than $1 million annually. But this elite group would receive 57.2 percent of the tax cuts that go to New Jersey residents under the tax proposals from the Trump administration. A much larger group, 37.4 percent of the state, earns less than $45,000, but would receive just 3.7 percent of the tax cuts.
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ITEP Work in Action July 21, 2017 New Jersey Policy Perspectives: Trump Tax Plan: A Boon for the Wealthiest New Jerseyans
A federal tax package based on President Trump’s April outline would fail to deliver on its promise of mostly helping the middle class, instead showering most of its help to the richest 1 percent, according to a new 50-state analysis from the Institute on Taxation and Economic Policy released today.
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July 20, 2017 Trump Tax Proposals Would Provide Richest One Percent in New Jersey with 54.7 Percent of the State’s Tax Cuts
Earlier this year, the Trump administration released some broadly outlined proposals to overhaul the federal tax code. Households in New Jersey would not benefit equally from these proposals. The richest one percent of the state’s taxpayers are projected to make an average income of $3,101,200 in 2018. They would receive 54.7 percent of the tax cuts that go to New Jersey’s residents and would enjoy an average cut of $130,440 in 2018 alone.
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blog July 11, 2017 State Rundown 7/11: Some Legislatures Get Long Holiday Weekends, Others Work Overtime
Illinois and New Jersey made national news earlier this month after resolving their contentious budget stalemates. But they weren’t the only states working through (and in some cases after) the holiday weekend to resolve budget issues.
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blog June 28, 2017 State Rundown 6/28: States Scramble to Finish Budgets Before July Deadlines
This week, several states attempt to wrap up their budget debates before new fiscal years (and holiday vacations) begin in July. Lawmakers reached at least short-term agreement on budgets in Alaska, New Hampshire, Rhode Island, and Vermont, but such resolution remains elusive in Connecticut, Delaware, Illinois, Maine, Pennsylvania, Washington, and Wisconsin.
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blog May 31, 2017 State Rundown 5/31: Budget Woes Spurring Special Legislative Sessions
This week, special legislative sessions featuring tax and budget debates are underway or in the works in Kentucky, Minnesota, New Mexico, and West Virginia, as lawmakers are also running up against regular session deadlines in Illinois, Kansas, and Oklahoma. Meanwhile, a legislative study in Wyoming and an independent analysis in New Jersey are both calling for tax increases to overcome budget shortfalls.
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blog May 18, 2017 State Rundown 5/18: Tax Debate Heat Wave Hitting States
This week saw tax debates heat up in many states. Late-session discovered revenue shortfalls, for example, are creating friction in Delaware, New Jersey, and Oklahoma, while special sessions featuring tax debates continue in Louisiana, New Mexico, and West Virginia. Meanwhile the effort to revive Alaska’s personal income tax has cooled off.
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ITEP Work in Action April 25, 2017 New Jersey Policy Perspectives: DACA-Eligible New Jerseyans Pay $66 Million a Year in Taxes
New Jersey’s young immigrants eligible for DACA (Deferred Action for Childhood Arrivals) contribute $66 million in state and local taxes each year, the seventh highest level of all the states. And those annual contributions would increase by $27 million – the sixth most of all states – under comprehensive immigration reform.
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ITEP Work in Action April 3, 2017 New Jersey Policy Perspectives: Undocumented Residents Pay $587 Million a Year in NJ Taxes
New Jersey’s undocumented immigrants contribute $587 million in state and local taxes, the sixth highest level of all the states. And those contributions would increase by $73 million – the… -
media mention January 23, 2017 Star Ledger: Will Trump deport N.J. unauthorized immigrants in college under Christie ‘Dream Act’?
“A 2015 analysis by non-partisan Institute on Taxation and Economic Policy found that New Jersey has an estimated 528,000 unauthorized immigrants, and their average family income was just $34,500.” Read… -
media mention January 3, 2017 New Jersey Spotlight: Income Inequality and Policy in New Jersey
“Some background. The CPBB’s report, “How State Tax Policies Can Stop Increasing Inequality and Start Reducing It,” starts by ranking the various states according the ratio of average income for… -
media mention December 2, 2016 Bloomberg BNA: For Better or for Worse? Tax Policy Changes in New Jersey
“But gas taxes are also highly regressive, falling most heavily on low- and middle-income families. In this case, an analysis using the Institute on Taxation and Economic Policy microsimulation model… -
media mention November 7, 2016 Yahoo! Finance: New Jersey just hiked its gas tax by 159%. Is your state next?
“Of course, New Jersey isn’t the only state that has or is toying with raising gasoline taxes. Georgia, Idaho, Iowa, Kentucky, Michigan, Nebraska, North Carolina, South Dakota, Utah, and Washington… -
media mention November 3, 2016 BNA State Tax: Extras on excise: New Jersey fuel taxes are going up in the world
“New Jersey isn’t the only state that has seen a gas tax increase in recent years. Nineteen states and D.C. have seen gas tax changes in the past three years,… -
media mention November 1, 2016 Fox Business: New Jersey Gas Tax Hike: Will Your State Be Next?
“‘Many other states are facing similar issues, but haven’t raised the gas tax in a decade or more,’ said Carl Davis, research director at the Institute on Taxation and Economic… -
media mention October 14, 2016 CBS News: Is your state next to raise its gas tax?
“’There has been a lot of procrastination,’ said Carl Davis, research director of the Institute on Taxation and Economic Policy. ‘It’s an issue that the states cannot put off any…