NFIB: No new taxes pledge is good news for the state’s small business owners.
New Jersey small business owners heard welcome news as they listened to Gov. Chris Christie’s State of the State Address in January.
That’s because the governor announced his intention to abolish the state’s estate tax.
“Today, I’m calling on you to join me in abolishing the Estate Tax that penalizes the next generation and harms the long term economic future of our state,” Christie said.
“Right now, New Jersey imposes an estate and inheritance tax. Fourteen states currently have estate taxes, and six have inheritance taxes. But only New Jersey and Maryland have both. We’re outliers. And we also have the lowest exemption threshold in the country. It makes New Jersey unfair and uncompetitive.”
Christie cited a survey by the New Jersey Business & Industry Association in which 67 percent of respondents “said that estate and inheritance taxes influenced decisions about the future of their business and where they will live in their later years.”
“We need to fix this now,” Christie said. “We need to stop punishing the next generation and hurting middle class families.”
NFIB/New Jersey State Director Laurie Ehlbeck said the speech calmed business owners in the state, but cautioned that there are more battles ahead.
“Small business owners always breathe a sigh of relief when no new taxes are introduced in a speech like this because economic stability certainly lends itself to assisting entrepreneurs with planning for the future,” Ehlbeck said. “However, a fiscal stalemate is not going to get New Jersey on the right path to improving our economic situation. It is imperative that lawmakers support Governor Christie and provide him the proper legislation needed to ultimately abolish the estate tax, it’s a great start.”