NJ accountants say tax incentives are not effective for businesses
A survey by the New Jersey Society of Certified Public Accountants finds 55 percent of their members believe state tax incentives do not work when it comes to attracting businesses and jobs.
The survey showed 28 percent believe state tax incentives were somewhat effective. Just 9 percent believe they are effective.
The industry group's CEO and executive director, Ralph Albert Thomas, says many in the survey believe a lot of the program benefits lack flexibility.
"Having all of these requirements and compliance items just cause companies additional work," he said. "The compliance behind them is time-consuming and very confusing and troubling to a lot of businesses."
Thomas says the survey also delivered a message that more smaller businesses should benefit from these tax incentives.
"Our members felt that there should be more of a balance between large companies and smaller businesses," he said.
"We have 350,000 to 360,000 small businesses here and we really have not done a lot to incentivize those businesses to stay and expand their footprint in New Jersey. We have put in a couple of bills (in the Legislature) that we think make a lot of sense, that focus in on small businesses and helping them thrive. And we think that more should be done to help that community because they are already here."
He also says Trenton would benefit from listening to CPAs who are constantly in touch with the business community.