Top New Jersey lawmaker proposes business tax ‘surcharge’
Senate President Steve Sweeney said in a statement Tuesday his plan would imposes a 3 percent surcharge on businesses making over $1 million.
New Jersey Senate President Stephen M. Sweeney, D-Thorofare. (Mel Evans/AP Photo)
A top New Jersey lawmaker says he wants to add a “surcharge” to the state’s business tax in response to the federal tax overhaul.
Senate President Steve Sweeney said in a statement Tuesday his plan would imposes a 3 percent surcharge on businesses making over $1 million.
Sweeney, a Democrat, says the idea stems from the 2017 federal tax overhaul’s slashing of the corporate rate from 35 percent to 21 percent. He says the legislation would “recapture” some of that “corporate windfall” in order to fund state programs.
Sweeney says the proposal could bring in roughly $657 million. That’s slightly higher than an estimated $600 million expected from an income tax hike on millionaires that Democratic Gov. Phil Murphy favors.
A message left with the governor’s office wasn’t immediately returned.
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