New Jersey Is No. 1 for Taxes

State residents paid the highest taxes in the nation in 2009

It's no surprise to New Jersey residents that their taxes are sky-high.

A report released on Wednesday by the Tax Foundation in Washington, D.C., shows New Jersey had the highest tax rates in the U.S. in 2009.

Taxpayers in New Jersey gave up 12.2 percent of their income in state and local taxes. New Jersey topped New York at 12.1 percent and Connecticut at 12 percent.

The Tax Foundation has published an estimate of the combined state-local tax burden for all 50 states since 1977. For each state the tax burden is calculated using the total amount paid by residents in taxes and dividing those taxes by the state's total income.

The report shows the nation as whole paid 9.8 percent of its income in state and local taxes in 2009. That's down slightly from 9.9 percent in 2008. In 1977, the nation's tax burden was 10.4 percent.

New Jersey Gov. Chris Christie wants to change the state's reputation for high taxes.

"We are cutting spending so we can redcue the tax burden on the people of New Jersey," Christie said in his budget message on Tuesday.

Christie's 2012 fiscal year budget includes $200 million in tax reductions.

His proposal includes doubling property tax rebates for seniors and disabled homeowners with incomes up to $150,000 and for others who earn up to $75,000.

The property tax rebates will be extended as a credit on the property tax bills for those who qualify.

Contact Us