Chris Christie’s Veto Does Not Kill Millionaires’ Tax Hike [AUDIO]
Today, Governor Chris Christie is expected to make good on his pledge to veto the millionaires’ tax hike bill for the third time in three years. The measure received full legislative approval yesterday.
The sponsor of the bill in the State Senate says she has a ‘Plan B’ that would let voters have the final say on the issue.
Turner has already introduced a measure that proposes a constitutional amendment requiring that the personal income tax rate on annual income over $1,000,000 be at least 10.75%. It is currently 8.97%. The constitutional amendment provides that the tax rate on income over $1,000,000 can be no less than the rate that was temporarily imposed during taxable year 2009.
Turner’s amendment proposal also requires that the amount of money collected from the tax rate on income over $1,000,000 be spent annually on direct property tax relief. Direct property tax relief includes but is not limited to homestead rebates, homestead property tax reimbursements, veterans’ property tax deductions, senior and disabled citizens’ property tax deductions, and property tax deductions and credits.
“I have ‘Plan B,’” explains Turner. “‘Plan B’ is to put it on the ballot in the form of a referendum and with a referendum, he (Christie) doesn’t sign off on it…People would come out, they’d be running to the polls to support that.”
Turner is hoping to advance her measure sooner rather than later and thinks it doesn’t have to wait until the fall. She says, “As I understand it we’re going to be working through the summer anyway. We’re not going to be in recess.”
Democrats say the tax increase would generate $789 million for middle class property tax relief to help 95% of New Jersey’s residents. The revenue would be dedicated to the Homestead Benefit Program, which pays credits against local property taxes, helping lower a homeowner’s property tax bill.
Christie says New Jersey’s millionaires already pay high income taxes and hiking the tax would put the state at a competitive disadvantage in terms of surrounding states. He also feels millionaires are the job creators and if their taxes are increased they might flee the state.