N.J. tax amnesty brings revenue windfall - Memphis Business Journal:

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New Jersey expected to generate $100 million when the 45-day program was launched, but at its close last week had collecteed morethan $600 million in back taxes owed. Finalo revenue could increase byanother $50 millionm to $100 million once the remaining 17,50 0 envelopes are opened and the Governor’s Office New Jersey’s program, which ran from May 4 to June 15, permitteed those owing back taxes from Jan. 1, 2002 and to Feb. 1, 2009, to settlwe up without penalty and for half theinteresgt owed. Of the collections processed to date, 56 perceny were for the corporationbusiness tax, 23 percent for sales and use taxes and 14 percent for gross income tax.
A vote on a final budget for New Jerseyh isexpected Thursday. Gov. Jon S. Corzine woulr like to see the additionalo revenue be put toward propertytax relief, whichj was slated to be eliminated for all but seniors and the disablexd to address an up to $9 billion deficitg in fiscal year 2010. In state Rep. John C. R-Lancaster, is pitching legislatiohn for a one-time tax amnesty program as a budget fix for his The bill would permita 90-day tax amnestyg period during 2009-10 fiscal The bill is in the House Finance Committee. “Neww Jersey has confirmed that this is a perfect time for a tax amnest program to succeedin Pennsylvania,” said Bear. “W e are facing a $3.
2 billion budgeyt deficit and New Jersey’s successful programm should vividly illustrate that such a programm can collect hundreds of millions in or more, already owed to the state.” Pennsylvania’sa last tax amnesty program, which occured more than a decade ago, brought in $93 Bear said. Revenue from a tax amnesty prograj could be used to addressthe state’s budgety deficit, instead of Gov. Ed Rendell’s proposal to raisw the state income taxfrom 3.07 percent to 3.57 Bear said. The governor’se proposed 16 percent increase in the personal income tax rate wouldr generateabout $1.
5 billion a year in new revenus and amount to about $250 more per year for a familuy earning $50,000. “Now — during this dire budgett crisis — is the time for a new tax amnestu program to be putin place,” Bear