AJR176

A Joint Resolution designating the second Tuesday of January each year as “Respect the Taxpayer Day” in New Jersey.

Whereas, Thursday, May 3rd was New Jersey’s “Tax Freedom Day” for 2018, which is the day on which New Jersey taxpayers have collectively, since the first day of the calendar year, earned enough money to afford to pay all of the State’s taxes for the year, according to the Tax Foundation; only New York taxpayers have to work a greater number of days each year to afford state taxes; and

Whereas, New Jersey residents are forced to pay the second highest state and local tax burden in the country, according to a 2015 analysis conducted by Forbes; and

Whereas, New Jersey residents also continue to suffer the worst property tax burden in the country, as chronicled in every annual analysis conducted by WalletHub since it began ranking states by property tax levy in 2015; and

Whereas, New Jersey registered voters selected our highest-in-the-nation property taxes as, by far, the single most important concern facing the State, according to a 2017 Monmouth University poll; and

Whereas, New Jersey was ranked as the state with the worst business tax climate in the country, according to the Tax Foundation’s 2019 State Business Tax Climate Index; a distressing distinction held since 2015; and

Whereas, The Tax Foundation, furthermore, recently admonished New Jersey for being hampered by some of the highest property tax burdens in the country, recently implementing the second highest-rate corporate income tax in the country, levying an inheritance tax, and maintaining some of the nation’s worst structured individual income taxes; and

Whereas, New Jersey has also been ranked as the worst state for small business taxes, according to a 2017 Business News Daily report; and

Whereas, Since 2002, New Jersey residents have been burdened with more than 115 new or increased taxes and fees; and

Whereas, Estimates of the cost of tax increases enacted in 2018 alone include: $200 million in new sales and use taxes for online purchases; $15 million in new taxes on rentals of vacation rooms; $12 million in new taxes on the use of ride-sharing services; $300 million increase to the gross income tax; $17 million in new taxes on electronic cigarettes; and nearly $1 billion in increased taxes on businesses, much of which will be passed on to and borne by consumers; and

Whereas, Previous tax increases include: curtailing the ability of taxpayers to deduct property taxes from income tax obligations; increasing the sales and use tax rate and expanding the tax base to a dozen new areas, including software and magazines; new taxes on energy, alcoholic beverages, health insurance, health care facilities and nursing homes, automobiles, tires, pensions, phone bills, and hotel room rentals; and four separate increases in taxes related to selling one’s home; and

Whereas, The Legislature convenes on the second Tuesday in January of each even-numbered year; it is therefore appropriate that legislators be reminded of the pressing need to respect taxpayers as each new legislative session begins; now, therefore,

Be It Resolved by the Senate and General Assembly of the State of New Jersey:

1. The second Tuesday in January of each year is hereby designated as “Respect the Taxpayer Day” in New Jersey, in order to raise awareness of the State’s increasingly onerous tax burden and to remind legislators of the need to alleviate the tax burden borne by State residents.

2. The Governor is respectfully requested to annually issue a proclamation that recognizes “Respect the Taxpayer Day” and to call upon the public officials and citizens of this State to observe the day with appropriate activities and programs.

3. This joint resolution shall take effect immediately.

STATEMENT

This joint resolution designates the second Tuesday of January in each year as “Respect the Taxpayer Day.”

New Jersey is consistently ranked as the state with the highest, or one of the highest, tax burdens in the country, across the spectrum of State taxes, including: property taxes; the corporation business tax; the gross income tax; taxes on a multitude of goods and services; and inheritance taxes. In fact, 2018 alone saw new taxes levied on ridesharing, vacation rentals, online purchases, electronic cigarettes, as well as increases in the State’s corporate and income taxes. These taxes not only result in billions of dollars each year being taken from the pockets of hardworking taxpayers, but the increasing burden has also resulted in businesses and families leaving New Jersey for lower-tax states.

Accordingly, this joint resolution designates the second Tuesday of January in each year as a day for legislators to reflect on the increasingly onerous tax burden borne by New Jersey residents. This date is particularly significant because, in every even-numbered year, the second Tuesday in January is the date on which the Legislature convenes to begin its new session and debate the policies and priorities that should guide decision-making. The obligation of the State’s elected officials to respect taxpayers should be forefront in the minds of all policymakers.