Earlier this spring, the New Jersey Association of REALTORS (NJAR) notified you of Governor Jon Corzine’s budget plan calling for a one-year suspension for all non-senior households earning more than $150,000 to deduct property taxes from their state tax filings. In a high-cost state like ours, imposing this income threshold could mean that a husband and wife working as a police officer and school teacher may not qualify for the deduction. Recognizing the harmful impact this plan would have on working class homeowners, NJAR is, once again, asking that you take action against this proposal.
As budget negotiations are drawing to a close, it’s crucial to send Trenton one last message that you oppose even the partial elimination of the property tax deduction. Given current economic conditions, this is the worst possible time to propose any legislation that undermines the basic foundation of homeownership. The partial elimination of the property tax deduction is just a third of the triple whammy for homeowners under this budget plan. All non-senior taxpayers are slated to lose their property tax rebates. Additionally, educational and municipal aid, which is used to offset property taxes, is either being frozen or cut. These proposed policies will certainly lead to higher property taxes.
As you know, the state budget process can be extremely turbulent. In the past, lawmakers have proposed tax increases at the last minute to avoid public scrutiny. Speak out against any eleventh hour attempt by lawmakers to raise or impose new taxes on the real estate industry or property owners. Let legislators know that we will be opposed to any effort by them to hike taxes on real estate. Encourage REALTORS, clients, family and friends to send a letter to their lawmakers through the NJAR Action Center.