Is the honeymoon over already for Phil Murphy, incoming New Jersey Governor?
Both State Senate President Steve Sweeney and the incoming State Assembly Speaker Craig have both expressed concerns about a millionaire’s tax because of the fallout of the proposed Republican tax cut being talked about in Washington, DC.
Plus the fact that incoming Speaker has said that he has to talk with fellow assembly members about the proposed legalization of marijuana in New Jersey.
So it seems that Governor Elect Murphy might not have an easy time in keeping his campaign promises. Per NJ.com, “Sweeney and Coughlin also know Murphy needs them to pass his initiatives.” Thus it seems that while Murphy has a Democratically controlled legislature to work with he does not have Cart Blanche as he had initially thought.
Again per NJ.com, “The millionaire’s tax and legal pot are part of his plan to increase funding for education, transportation and public-worker pensions. Murphy also wants to raise money by closing corporate tax loopholes.
Sweeney has been a consistent supporter of a millionaire’s tax under Gov. Chris Christie‘s administration. But he argues lawmakers should wait to see what happens with the federal tax plan being pushed by President Donald Trump and his fellow Republicans who lead Congress.
The U.S. Senate proposal would wreak havoc among New Jerseyans because it would eliminate state and local tax deductions, Sweeney argues. The House version would eliminate the break for all but $10,000 in property taxes.”
If the President gets his way Murphy still thinks that he can impose a millionaire’s tax, the problem with this is that there is nothing to prevent the so called millionaires from leaving New Jersey. And Murphy’s timing better be very good or otherwise he could find himself standing all alone in supporting a raising of any taxes while the Federal government is trying to lower them.
“Sweeney told NJ Advance Media on Tuesday that he has “the greatest respect” for Murphy and that he’s still “in favor” of a millionaire’s tax.
“But my concerns are legitimate,” Sweeney added. “I just want to wait and see what happens in Washington.”
“This is not pumping brakes to screw him up,” he said of Murphy. “We need to know what the impact is going to be.”
Sweeney said his concern is “exodus of wealth” — that if Republicans in Congress take away key deductions that New Jersey taxpayers use and then Democrats in the state raise taxes on the rise, millionaires might leave the state in droves Coughlin echoed Sweeney in an interview with NJ Advance Media on Tuesday. He said lawmakers need to “see what comes out of Washington” first to “determine the best course of action” on the millionaire’s tax.
“I see it as a potential source of revenue that I think we should absolutely look at,” Coughlin aid. “But what happens there may matter here. When we know what happens, we’ll understand the best path for New Jersey.””
So it seems to me that with a less than forty-five percent turnout in the gubernatorial election and impeding federal tax reform throws a pall over Murphy’s tax plans. Thus I think that the honeymoon period is over before it even started.
That is my opinion- Jumpin Jersey Mike
