Welcome To New Jersey sign in front of the New Jersey Department of Transportation Headquarters in Ewing, New Jersey by Famartin is licensed under CC BY-SA 4.0

Governor Phil Murphy promisedthat his days of raising taxes on the people in New Jersey were over during a 2021 gubernatorial debate against Jack Ciattarelli. Gov. Murphy stated, “I pledge not to raise taxes.” 

This year, It didn’t take long for Gov. Murphy to break that fragile promise with his signing of A4011, which annually raises New Jersey’s gas tax on both gasoline and diesel by 1.9¢ until 2029. The total tax increase is 9.5¢. 

The governor is also pushing to reinstate a corporate income tax surcharge that just expired last year. The surcharge makes New Jersey the worst tax climate for businesses in the nation, taking the rate from 9% to 11.5% for corporations with $10 million in income. 

This could not have come at a worse time as the neighboring state of Pennsylvania has begun the process of lowering its corporate tax rate down to 5.99%. New Jersey can expect citizens and business to flee to Pennsylvania or southern states, which offer a better tax environment. 

Homeowners who are already paying the most oppressive property taxes in the nation will face even higher burdens after Gov. Murphy signed legislation that undermines the state’s 2% property tax cap. 

“Democrat tax hikes will only turn up the heat in New Jersey’s tax hell, while reckless government spending incinerates those tax dollars,” said ATR President Grover Norquist. “In a state that has year after year helplessly watched taxpayers flee to lower tax states to find relief, politicians should know that tax hikes will only push away job creating investment, send graduating students and young families to other states and (once again) fail to capture the promised tax revenue.”

This renewed push to increase taxes highlights a disturbing pattern that has become common under Gov. Murphy’s administration. Since Murphy took office in 2018, the state budget has grown 30% while total spending has increased by 50%. New Jersey lawmakers have been spending more money, resulting in increased taxes and greater burden on the taxpayer. 

Prior to his phony reelection promise to avoid tax increases, Gov. Murphy succeeded in enacting $2.7 billion in tax increases during his first term – but he proposed nearly $4 billion in tax increases

“Governor Murphy has totally betrayed his promise to New Jersey families to stop increasing their taxes,” Norquist added. “That’s why voters need to see such statements put into writing through the Taxpayer Protection Pledge. Unfortunately for New Jerseyans, Murphy’s no tax hike promise has turned into an expensive lie.”

New Jersey taxpayers continue to flee, as 48% of residents are currently looking to move out of the state while 59% of people would like to move out at some point in the future. They cite the increased cost of living and taxes.