Tag Archive: tax amnesty

More reaction to tax amnesty success

Yesterday, the budget vote was postponed as they reworked the package given additional unexpected revenues. Here are some comments from Speaker Roberts, Assemblywoman Watson Coleman and Assemblyman Grewenwald about the success of the tax amnestry program. According to numbers from the state Department of Treasury, the program has collected more than $600 million – $400 million over initial projections – and represents the largest single tax amnesty program executed by any state:

The Governor’s office and Legislative leaders can now tout the success of the program, which is a nice change from the news they have been dealing with lately. What do you think they should do with the money? The Governor and Legislative leaders have indicated it will go toward property tax relief. Others have questioned why it will not be used to pay down the debt or restore funding for other program cuts. We’ll know when the budget committees go through the process again on Monday and then Leaders hope to pass the budget next Thursday now.

Well, look who voted against the tax amnesty program

It’s just amazing how bad Republican policies are in practice.  Joe Cryan just sent out a great rant pointing out that Republicans were against the tax amnesty program that seems to have saved the property tax rebate program:

“Today is a great day for taxpayers across New Jersey,” said Cryan.  “Governor Corzine’s leadership in keeping the state ahead of the curve during this national economic recession continues to pay off for New Jersey residents.  However, if the Christie Right Wing Republicans had their way the tax amnesty legislation would have never passed.  Christie campaign co-chairs Kean and DeCroce and party Chairman Webber all put politics ahead of helping New Jersey’s taxpayers.  They voted along partisan lines against a measure that was thoughtfully conceived during a national recession to provide added relief to responsible taxpayers by going after those who were delinquent.

These people are the primary supporters of Christie’s right wing agenda that would also see us deny federal money from President Obama’s economic recovery plan for education, job creation, unemployment insurance and the state budget deficit.  We now see clearly what the consequences of Christie’s policies would be: deny any and all proposals put forward to get the state through this national economic recession while continuing to provide the wrong answers for New Jersey, like denying property tax relief for our residents.”

Kean, DeCroce, Webber, and 16 other Republicans voted against the program.

Today’s budget news: An amnesty everyone can love

Today’s New Jersey budget votes were postponed after unexpectedly good news.  Governor Corzine has just explained the situation:

“Today, because of an unprecedented response to the tax amnesty program that I initiated this winter, the state has collected back tax revenues that are far in excess of the $200 million that the State Treasurer anticipated,” Governor Corzine said.  “When revenues fell, the last item we cut was property tax relief.  Now that we have recovered some lost revenues, the first thing we will restore is property tax relief.  This money belongs to the taxpayers, and we’re going to give it back to them in property tax relief.”

The tax amnesty program, which ended Monday, allowed anyone who owed back taxes a brief window of opportunity to square his or her account without interest or penalties. The program was expected to raise $200 million, but a spike in participation in the final days pushed the amount collected past $600 million and the total could be as much as $700 million when all of the checks clear.

The original estimates were actually just $100 million, so it’s a huge improvement and Governor Corzine rightly takes credit for this extra income.

Here’s another statement from Speaker Roberts, explainng why he decided to delay the budget:

Today’s announcement is great news in this tough budget year for New Jersey property taxpayers and families.

“We have always said that we would seek to provide as much property tax relief as possible, and these updated figures allow us to honor that commitment to put property taxpayers first.

“Considering this development, it would be imprudent to advance budget bills today now that we can responsibly improve them. Instead, the Assembly Budget Committee will meet Monday to revise the budget bills, and I expect the Assembly to vote on the bills a week from today, June 25.

“This development again shows how New Jersey Democrats have indeed been ahead of the curve in responding to this economic crisis. Those who criticized this program and never offered an alternative must now confront the reality that this was the nation’s most successful tax amnesty program and a smart and sensible policy.”

 

There is a video posted by the Governor’s office too.  

FAQ’s on the tax amnesty program

After starting the program in May, the state has taken in over $64 million dollars in back taxes through their tax amnesty program so far. The goal for collections remains $200 million. The average payment so far has been $1100. In the past 11 days, the state has collected $39.7 million.

The program touts itself as allowing people to settle unpaid taxes and wipe the slate clean with no penalties by June 15. The program is only available for paying back NJ taxes.  Here is a Frequently Asked question video they put together about the program where they try to debunk some misconceptions they say exist about the program:

They are getting over 4000 phone calls per day apparently. The tax amnesty program ends at midnight on June 15, so if you know someone who could benefit you may want to let them know.

Taxamnesty.nj.gov hits the air and web

Update: Thanks to a reader, who shot us an email on our tip line, we hear that the media buy for tax amnesty is reported to be $9M. – – Rosi

The state began their tax amnesty program the other day to encourage people to pay their delinquent taxes. I was watching the basketball game last night and caught this commercial running on TNT:

Here’s what they have to say:

New Jersey Tax Amnesty can potentially save you and/or your business thousands in 2009. If you’re behind on State taxes, you can wipe the slate clean and settle your tax debt with NO penalties and less interest! But you have to hurry, because Tax Amnesty ends June 15. For more information visit TaxAmnesty.nj.gov or call 800-781-8407.

Residents can pay their back taxes for 45 days and the state hopes to raise an additional $100 million in revenue. Has anyone else seen these commercials?  I’m wondering how large the media buy is.