Why Should Businesses Care About the State Budget?
May 24th, 2018
It might not seem at first glance that the State of New Jersey’s proposed budget has much to do with the day to day operations of your business. But in truth, the budget is a key factor in determining the overall health and direction of the state’s economy. If you’ve been following recent headlines, you’ll know that in New Jersey there is a lack of consensus among elected officials on what the budget should look like.
Last year, there was a similar lack of consensus and the state was forced to shut down during the July 4th weekend. Some believe the same scenario could play out once again as we near the July 1 deadline for the adoption of a new budget.
Sticking points that may impact your business?
- Possible implementation of a Millionaires’ Tax
- Possible increase in the Corporate Business Tax for those companies making over $1 million annually
- Workplace mandates that could impact your bottom line including minimum wage hikes, paid leave and others
- Increased energy & utility costs
- Procurement opportunities and access to capital for establishment or expansion of businesses
- Potential increase in the sales tax after being lowered in recent years
- Predicted rise in the gas tax as estimated revenue has been projected to be under the necessary amount
- Changes to the combined reporting provision
To help our membership better understand the budget and its potential impact, we are hosting an event on June 1 – “The State Budget: How It Impacts Your Business.” The chair of the Senate Budget & Appropriations Committee, Sen. Paul Sarlo, will be speaking about this year’s budget and the process moving forward. We also have an expert panel to flesh out the main issues and answer questions you may have.
To register for this event, please click here.