(The Center Square) – With New Jersey looking to bring in higher-than-anticipated tax revenues, state Republicans want to return the money to the taxpayers.
On Wednesday, treasury officials said New Jersey’s baseline state revenues for the 2021 fiscal year could be roughly $4.1 billion higher than anticipated. Coupled with other revenue increases, the state expects to end fiscal 2021 with a $10.1 billion surplus.
“The surplus should be given back to taxpayers because it is theirs to keep, and the state is already flush with cash,” Assemblyman Hal Wirths, R-Sussex, the Republican budget officer, said in a news release. “… The surplus should be used to cut taxes, whether by increasing school aid, decreasing payroll taxes, increasing the earned income tax credit, cutting taxes for small businesses struggling to recover, or any other way that puts money in people’s pockets.”
Meanwhile, a spokesperson for Gov. Phil Murphy, a Democrat, said he plans to work with lawmakers on how best to allocate the money.
“Governor Murphy’s budget will make investments in New Jersey and New Jerseyans and – unlike the budgets of [former Republican] Governor [Chris] Christie, which prioritized tax cuts for millionaires and billionaires – will ensure we properly invest in our public education system, reduce the burden of health care costs, and provide additional tax cuts to New Jersey’s growing middle class,” Alyana Alfaro Post said in an email. “We will continue to discuss proposals with Legislative Leadership to determine the best uses of state funds.”