PHILADELPHIA (KYW Newsradio) — President Donald Trump tweeted a note of congratulations on Monday to New Jersey's legislature for passing a budget that did not include a "millionaire's tax." The proposal from Gov. Phil Murphy would have increased the top marginal rate paid by people who make more than $1 million from 8.97% to 10.75%.
Congratulations to legislators in New Jersey for not passing taxes that would have driven large numbers of high end taxpayers out of the state. Many were planning to leave, & will now be staying. New York & others should start changing their thought process on taxes, fast!
— Donald J. Trump (@realDonaldTrump)
July 1, 2019 Murphy said on Twitter Sunday that the tax "would generate more than $500 million of reliable revenue to invest in property tax relief, public school funding, and municipal aid, while strengthening NJ against any economic downturn."
With Trump’s tax breaks for millionaires, conditions are even more favorable to finally put the millionaire’s tax to work for all of NJ. We have more millionaires per capita than any other state in the nation. This modest tax will not push them out.
— Governor Phil Murphy (@GovMurphy)
June 30, 2019 However, the Democrat-controlled Legislature turned it down.
Trump says the tax would have driven wealthy people from the state.
On Sunday, Murphy signed the $38.7 billion budget without the provision, avoiding a state shutdown.
