The amount of sales and income taxes increases yearly while property taxes are relatively static.
The optimal solution is to allow each municipality to charge a 1% income tax on their residents, and to split the sales tax with each county. This municipal income tax would be credited towards the state income tax. This means state government would have to cut spending and county costs would a lower part of local property taxes.
There is another change to balance the budget and reduce future debts. Start taxing the income from state and municipal bonds. When the rich and powerful no longer enjoy tax-free income there will be less spending to create excessive costs that benefit bondholders.
State and local government will adopt “pay as you go” funding instead of higher cost bonding. Are tax dollars also subsidizing the building of massive apartment buildings?
Ronald A. Sobieraj
Connect with NJTODAY.NET
Join NJTODAY.NET's free Email List to receive occasional updates delivered right to your email address!