Signed by Governor Phil Murphy

Vote Smart's Synopsis:

A vote to pass a bill that amends income tax rates.

Highlights:

• Requires each taxpayer to pay a surtax as follows (Sec. 1):

• 2.5 percent for a taxpayer that has an allocated net income in excess for $1 million, for periods beginning on or after January 1, 2019, through December 31, 2019; 

• 1.5 percent for a taxpayer that has an allocated net income in excess of $1 million for the periods beginning on or after January 1, 2020, through December 31, 2021. 

• Prohibits a taxpayer from being allowed the amount of any deduction, exemption, or credit allowed under the Internal Revenue Code for income reported pursuant to section 965 of the Internal Revenue Code, for periods beginning on and after January 1, 2017, for the purposes of computing an entire net income (Sec. 2).

• Defines “taxpayer” as a business entity required to report and pay tax on dividends for federal tax purposed (Sec. 3).

Full Bill Text

Vetoed by Governor Phil Murphy