New Jersey Senate Republicans have announced on X that Governor Phil Murphy has raised the state’s corporate tax to the highest level in the nation. They warn that this move contributes to an affordability crisis affecting jobs and families.
According to CNBC’s “Top States for Business 2025” report, New Jersey ranks 49th in the nation for business friendliness, just ahead of New York. The report cites high costs, a burdensome tax climate, and regulatory challenges as primary reasons for the low ranking. These conditions reportedly make it more difficult for businesses to start, grow, or remain in New Jersey.
Governor Murphy’s corporate tax increase has brought New Jersey’s rate to 11.5%, making it the highest among U.S. states, as documented by the Tax Foundation. Their 2025 corporate tax survey indicates that New Jersey now surpasses states like California (8.84%) and New York (6.5%) in corporate tax rates. The analysis suggests that such a high tax rate may reduce the state’s attractiveness for corporate investment and could negatively impact job creation and economic competitiveness.
New Jersey Senate Republicans attribute this tax increase to a broader affordability crisis, highlighting both the business climate and migration patterns within the state. The 2024 United Van Lines National Movers Study found that New Jersey ranks among the highest in outbound migration, with high taxes and overall cost of living cited as top reasons for leaving. According to United Van Lines, many individuals reported affordability as a primary motivation for their departure.
The New Jersey Senate Republicans are an official caucus representing Republican legislators in the New Jersey State Senate across various districts statewide. Their policy focus includes economic reform, lowering taxes, and addressing affordability concerns for families and businesses. They regularly issue statements and policy updates on matters impacting New Jersey’s economy and residents.
