Happy New Year ...... Ready for new taxes in New Jersey for 2019?

So now that the new year is here, there are five new taxes that go into effect here in the Garden State, some of them may affect you. The new taxes were outlined in a recent Patch article.

  • Health Insurance Tax: New Jersey now has it's own version of Obama Care. Governor Murphy took the step after Congress changed the federal "Obamacare" mandate in December 2017. The new tax became effective today. Murphy signed legislation (NJ A-3380) that restores the mandate, just for New Jerseyans, that everyone must obtain health insurance or pay a tax!
  • Plastic Bag Tax: A number of Garden State towns are imposing fees on plastic bags, citing their potential damaging impact on New Jersey's environment, that will cost you more at local supermarkets or elsewhere. Towns affected here in Ocean & Monmouth Counties include: Beach Haven, Belmar, Bradley Beach, Harvey Cedars, Monmouth Beach, Point Pleasant Beach and  Stafford Township. Use re-usable bags when shopping to avoid tax and help reduce pollution.
  • Local Payroll Tax Hike: Governor Murphy signed (NJ A-4163) which allows municipalities that have a population over 200,000 to impose an employer payroll tax. These payroll tax revenues are then disbursed to the respective school districts. The bill is a way to help municipalities that have seen a cut in State funding.
  • Corporate Business Tax: A corporate business tax surcharge was approved in New Jersey, that averages 2% over 4 years. Here's the breakdown ..... For the first 2 years, the surcharge is 2.5%, which will provide $425 million. The third and fourth year it reduces to 1.5%
  • Multi-Millionaire's Tax: This is not one that will affect many of us, although I'd gladly pay this tax and be a "multi-millionaire" ..... according to the Patch article....Individual income of more than $5 million is now taxed at 10.75 percent, regardless of the taxpayer's filing status. Employers must withhold Gross Income Tax at the rate of 15.6 percent from salaries, wages, and other remuneration paid for services rendered in excess of $5 million during the taxable year.

So there you go, five NEW taxes here in New Jersey. You make not be affected by any, but in a State with High existing taxes .... do we need ANY new taxes?

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