A deal has been reached with Governor Phil Murphy and state legislative leaders regarding the “millionaires tax” designed to alleviate some of the economic stress brought on by the COVID-19 pandemic. Here are the most important points:
- The New Jersey income tax rate will be raised from 8.97% to 10.75% for households with an annual income of $1 million.
- Annual rebate of up to $500 for single parent families with an annual household income of less than $75,000 and two-parent families with an annual household income of less than $150,000.
- Reinstating the 2.5% corporate business surtax for another four years.
The deadline to reach a budget agreement is September 30. We will continue to keep you posted as additional information becomes available. In the meantime, please reach out to Cg with any questions.