NJ lawmaker suggests tax amnesty to bring in back taxes

By: Monica Miller

An amnesty for New Jersey residents who haven’t paid their taxes is in the works. WHYY’s Monica Miller spoke to one Camden County legislator who says the incentive could bring in much-needed revenue to plug a 7-billion dollar budget shortfall.

By: Monica Miller

An amnesty for New Jersey residents who haven’t paid their taxes is in the works. WHYY’s Monica Miller spoke to one Camden County legislator who says the incentive could bring in much-needed revenue to plug a $7 billion budget shortfall.

Transcript:
Assemblyman Lou Greenwald says tax payments to the state are becoming a casualty in these tough economic times. The Assembly Budget Committee chairman says the state needs every penny in its coffers, so he wants to create a temporary program for residents to pay back taxes, interest and collection costs without facing civil or criminal penalties.

Greenwald: “The fear I think is that if you were a tax payer who hasn’t paid their taxes that those fines and penalties add up and becomes a crushing weight that you can’t afford and it actually discourages people from paying.”

The state’s previous tax amnesty program in 2002 brought in roughly $277 million. Greenwald says this year’s program may not be quite as lucrative, but could exceed expectations.

Greenwald: “By the projections, it looks like there’s outwards of $100 million to be collected.”

The 45-day amnesty would cover back taxes owed between January 1 of 2002 and January 31 of this year.