Reducing taxes requires that we reform and control spending in the big-ticket items in the state budget. I have laid out those reforms, and the tax areas where I would apply the savings, in the associated Issues section.
PENSIONS: Use the savings from to begin paying down New Jersey’s massive debt burden. As a result of reducing the debt, interest payments on the debt (currently 8% of the budget) will also be reduced in future budgets.
- SCHOOLS: Use the savings to reduce the state income tax burden.
- MEDICAID: Use the savings to reduce the state sales tax burden, which falls disproportionately on low-income families.
- TRANSPORTATION: Use the savings from these fixes to reduce the state gas tax burden.
- MARIJUANA: Use the savings from state police, prosecutors, courts, and prisons to reduce the state sales tax burden. Use savings at the county and local level to reduce the county and local portions of property taxes.
- NON-ESSENTIAL SERVICES: Use the savings from spinning off some of these “non-essential” services to reduce the state income tax burden.