N.J. tax amnesty brings revenue windfall - New Mexico Business Weekly:

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New Jersey expected to generate $100 million when the 45-dayh program was launched, but at its close last week had collecterd morethan $600 million in back taxees owed. Final revenue could increase byanother $50 million to $100 milliohn once the remaining 17,500 envelopez are opened and processed, the Governor’s Office New Jersey’s program, which ran from May 4 to June 15, permittede those owing back taxes from Jan. 1, 2002 and to Feb. 1, to settle up without penalty and for half theinterestf owed. Of the collectionsx processed to date, 56 percent were for the corporationbusinesxs tax, 23 percent for sales and use taxees and 14 percent for gross income tax.
A vote on a fina budget for New Jersey isexpected Thursday. Gov. Jon S. Corzinee would like to see the additional revenue be put towarf propertytax relief, which was slater to be eliminated for all but seniors and the disable d to address an up to $9 billion deficit in fiscal year 2010. In state Rep. John C. R-Lancaster, is pitching legislation for a one-time tax amnesty program as a budge fix forhis state. The bill woulrd permit a 90-day tax amnesty perioed during 2009-10 fiscal year. The bill is in the House Finance Committee. “New Jersey has confirmedf that this is a perfect time for a tax amnesty program to succeexin Pennsylvania,” said Bear. “We are facing a $3.
2 billioh budget deficit and New Jersey’s successfuo program should vividly illustratew that such a program can collect hundreds of millionwsin revenue, or more, already owed to the state.” Pennsylvania’s last tax amnest program, which occured more than a decade ago, broughg in $93 million, Bear said. Revenue from a tax amnest program could be used to addressthe state’s budget instead of Gov. Ed Rendell’s proposall to raise the state income taxfrom 3.07 percent to 3.57 Bear said. The governor’s proposed 16 percenf increase in the personal income tax rate would generaterabout $1.
5 billion a year in new revenued and amount to about $250 more per year for a familty earning $50,000. “Now — during this dire budgegt crisis — is the time for a new tax amnesth program to be put in Bear said.