Garden State Times

The National Federation of Independent Business (NFIB), a prominent small business advocacy group, has expressed its stance on the recent passage of New Jersey's State Fiscal Year 2024 budget. The $54.3 billion budget, now the largest in the state's history, was passed by the New Jersey Legislature and sent to Governor Phil Murphy for signing.

Eileen Kean, NFIB's State Director, released a statement regarding the legislative development. She noted that "this afternoon, the New Jersey Legislature passed and delivered its $54.3 billion SFY 2024 Budget to Governor Murphy to sign by midnight, avoiding a government shutdown." The budget plan includes expanded property tax relief aimed at providing tax credits for senior citizens with incomes below $500,000. However, Kean pointed out that this relief does not extend to commercial businesses, which contribute significantly to municipal property tax revenue.

Kean also highlighted a notable omission from the budget: funding for the Unemployment Insurance Trust Fund. This fund is crucial in preventing an impending employer tax increase slated for July. Governor Murphy did not support using federal pandemic relief funds to address the $1.4 billion shortfall caused by COVID-19-related business closures and restrictions. As a result, small businesses across New Jersey will face increased taxes to cover this debt.

Despite these concerns, NFIB supported certain legislative changes included in the budget concerning combined reporting under New Jersey's corporate tax code. These changes aim to enhance the state's appeal to businesses within the tri-state area. Additionally, as part of the budget agreement, New Jersey's corporate business tax rate will decrease from 11.5% to 9% by year-end.

NFIB has been advocating for small and independent businesses nationwide since its founding in 1943. The organization remains committed to representing these businesses both federally and at state levels.