Contact Us

Millionaire’s tax — NJ residents say yes, accountants say no

It’s no secret that a tax hike on New Jersey residents would mean an influx of new revenue for the state. But how much money could be headed out at the same time?

Money
Joe Raedle, Getty Images

Most certified public accountants in the Garden State claim that an increased tax rate on the wealthiest New Jerseyans would be a bad move for the state.

Surprised by the findings of a recent Quinnipiac University poll, in which New Jersey voters overwhelmingly supported a higher tax rate on those earning more than $1 million if it were used to boost pension or education aid, the New Jersey Society of Certified Public Accountants launched a survey of its own among society members.

More than 1,300 responses were received. When asked about raising taxes on New Jersey’s millionaires to help fund the state’s public employee pensions, 56.6 percent of respondents were opposed.

“They feel that another millionaire’s surcharge … will help stimulate outward migration, that people will leave,” NJCPA CEO Ralph Albert Thomas told New Jersey 101.5. “They also felt that it would impact small businesses.”

Seventy-two percent of CPAs said New Jersey needs to focus on shrinking government, not imposing more taxes.

“I think our members have a deeper appreciation for the unintended consequences that come about as a result of policy such as this,” Thomas said.

And it’s the state’s wealthiest residents who can most afford to simply pick up and leave, he added. Even crossing the bridge into Pennsylvania will lessen their tax burden but keep them close enough to the Garden State for any career or family obligations.

Democrats in the state Legislature attempted five times to hike the millionaire’s tax under Gov. Chris Christie’s watch. Each time, the governor has refused. The latest proposal in 2015 called for a 10.75 percent tax rate on income over $1 million, a move that was predicted to generate $675 million for the state.

More from WOBM:

Subscribe to 92.7 WOBM on

Contact reporter Dino Flammia at dino.flammia@townsquaremedia.com.

Sign Up For The WOBM Newsletter

Best of WOBM

Recommended For You

Best of the Web

Leave a Comment

It appears that you already have an account created within our VIP network of sites on . To keep your personal information safe, we need to verify that it's really you. To activate your account, please confirm your password. When you have confirmed your password, you will be able to log in through Facebook on both sites.

Forgot your password?

*Please note that your prizes and activities will not be shared between programs within our VIP network.

It appears that you already have an account on this site associated with . To connect your existing account just click on the account activation button below. You will maintain your existing VIP profile. After you do this, you will be able to always log in to http://wobm.com using your original account information.

*Please note that your prizes and activities will not be shared between programs within our VIP network.

Please fill out the information below to help us provide you a better experience.

(Forgot your password?)

Not a member? Sign up here

Sign up for WOBM Listener Club quickly by connecting your Facebook account. It's just as secure and no password to remember!

Sign up to have exclusive WOBM Listener Club contests, events, coupons, presales, and much more delivered to you for FREE.