Corzine Tax Increase on All of NJ

The Governor announced his budget plan yesterday. He made a point to be Obama'esque by citing the global economic condition rather than his own mismanagement for the poor state of NJ's economy. As a matter of fact, he tried to balance the "i inherited the problem (from his Democrat counterpart?) with the economic situation. He proudly spewed Obama by announcing tax increases on those making more than $500,000 per year as if everyone didn't expect there was more to his populist pap.

Well there was. He quietly announced a proposal to not only eliminate the rebate program for everyone but seniors thereby increasing taxes on most of the homeowners int he state, he also announced the elimination of the deduction for mortgage interest in income taxes. I caught this last night and alerted Jake but I didnt get a change to do the research before the folks at NJ.com did commenting on the budget.

That could translate into a double whammy for non-senior homeowners earning between $75,000 and $150,000. Not only would they lose their rebate, they would also miss out on hundreds of dollars in savings from the deduction.

A homeowner earning $95,000, for example, would not only lose a $1,000-plus rebate. Scrapping the property tax deduction would take away another $350 or so, according to state figures.

But that isnt all:

According to income tax data from 2006, the most recent available, there were 469,300 tax returns in the $80,000- to $150,000-income bracket. Those taxpayers had an average savings of $356 from the deduction. The average savings was $175 for the 258,500 tax returns in the $50,000 to $70,000 range.

The proposed budget would offer rebates averaging $900 for non-seniors earning less than $50,000 annually, and checks averaging $700 for non-seniors making between $50,000 and $75,000.

Last year, Corzine's budget included rebates averaging $665 for households earning $100,000 to $150,000. Households earning up to $100,000 received checks averaging $1,115.

So guess what all of you New Jersey resident who voted for hope and change and a new way of doing things? You voted for a middle class tax cut that apparently amounts to $13.00 per month for most people. Review this post and you will realize that thanks to your Obama loving Governor, you are already in the hole by quite a large margin. You thought it was the OTHER GUY who was going to be taxed.

You were wrong.

Read the entire article here.

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