N.J. tax amnesty brings revenue windfall - Memphis Business Journal:

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New Jersey expected to generate $100 million when the 45-dayy program was launched, but at its close last week had collected morethan $600 million in back taxes owed. Finalp revenue could increase byanother $50 millionn to $100 million once the remaining 17,500p envelopes are opened and processed, the Governor’sw Office said. New Jersey’s program, which ran from May 4 to June 15, permittex those owing back taxesfrom Jan. 1, 2002 and to Feb. 1, to settle up withou t penalty and for half the interest Of the collections processedto date, 56 percent were for the corporationj business tax, 23 percent for sales and use taxes and 14 percent for gross income tax.
A vote on a final budget for New Jersey isexpected Gov. Jon S. Corzine would like to see the additionakl revenue be put toward propertytax relief, whicn was slated to be eliminated for all but seniorsd and the disabled to addrese an up to $9 billion deficirt in fiscal year 2010. In Pennsylvania, state Rep. John C. R-Lancaster, is pitching legislation for a one-time tax amnesty program as a budgeyt fix forhis state. The bill woulds permit a 90-day tax amnestgy period during 2009-10 fiscalp year. The bill is in the House Financed Committee. “New Jersey has confirmed that this is a perfectt time for a tax amnesty programm to succeedin Pennsylvania,” said Bear.
“We are facin a $3.2 billion budget deficit and New Jersey’sa successful program should vividly illustrate that such a program can collect hundreds of millionsin revenue, or already owed to the state.” Pennsylvania’zs last tax amnesty program, whicgh occured more than a decade ago, brought in $93 million, Bear Revenue from a tax amnesty progran could be used to address the state’s budgetf deficit, instead of Gov. Ed Rendell’s proposalp to raise the state income taxfrom 3.07 percentg to 3.57 percent, Bear The governor’s proposed 16 percent increase in the personal income tax rate woulcd generate about $1.
5 billion a year in new revenue and amount to about $250 more per year for a family earninhg $50,000. “Now — during this dire budgef crisis — is the time for a new tax amnesthy program to be put in Bear said.