New Jersey May Change Retirement Taxes - NBC 10 Philadelphia

New Jersey May Change Retirement Taxes



    Taxation Changes in New Jersey?

    New Jersey lawmakers are expected to vote on a bill to cut taxes on retirement income. The plan would phase in an income tax exemption of up to $100,000 over three years. (Published Monday, Feb. 29, 2016)

    Taxes on New Jerseyans' retirement income could be reduced under a bill being proposed in the Democrat-led Legislature.

    The Senate Budget Committee is expected to vote Monday on the measure, which would phase in an income-tax exemption of up to $100,000 over three years. Married couples can now exempt only $20,000 if filing jointly.

    Lawmakers are also expected to discuss raising the state's estate tax exemption, which is the lowest in the country.

    Democrats say they hope the legislation demonstrates they are serious about cutting taxes, with the ultimate aim of raising the gas tax to pay for the state's troubled transportation trust fund.

    Republican Gov. Chris Christie has called for abolishing estate taxes and says any hike in the gas tax must be offset by cuts.