New Jersey’s proposed state budget includes $1.2 billion in new or increased taxes and fees on certain items, though no broad tax hikes on sales or income are planned.
Luxury home buyers will face higher taxes, with purchases between $1-2 million seeing rates double to 2%, while homes over $2 million would be taxed at 3%. This change is expected to generate $317 million.
Casino taxes on internet gaming and sports betting would increase substantially from the current 13-15% to 25%, bringing in over $400 million.
Common products will see price increases, with cigarettes going up 30 cents per pack, vaping liquid taxes tripling, and alcohol facing a 10% tax hike.
Previously untaxed services like bowling, laser tag, interior design, and horse training would now be taxed, generating $277 million.
On the positive side, baby products and sunscreen would become tax-exempt, providing some relief for families and promoting health protection.
Governor Murphy’s complete proposed budget can be found at https://www.nj.gov/treasury/omb/
