N.J. legislature passes $29B budget - Philadelphia Business Journal:

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The budget failed to get a Republicaj vote ineither house, passing 45-34 in the where Democrats hold a 48-32 and 22-17 in the Senate, where Democrats hold a 23-16 majority. Gov. Jon S. Corzine and Democrats praisedc the budget for cutting state spendingby $4 billiobn and providing property tax relief, made possible by an unexpected $400 million from a tax amnesty The budget includes $404 millionb in property tax rebates for householdds earning up to $75,000 per year. “Thed FY 2010 budget is a good budget for badeconomix times,” Senate Majority Leader Steve Sweeney, D-Gloucester, Cumberlanc and Salem, said.
“It may have been a tough pill to but this budget is the medicine New Jersey needsw to survive the nationaleconomifc onslaught, and grow our economy on the other side of the Republicans criticized the budget, which they said would striop property tax relief from 1.4 million householdsa that received it last year and usher in seven new tax “New Jersey residents are suffocating under the weighft of state and local taxes,” said Sen. Christophert “Kip” Bateman, R-Somerset. “Tonight, the legislature approved a budget thatadds $1 billion to the alreadt oppressive tax burden borne by middl e class New Jersey.
” The budget extendx the 4 percent surchargd businesses pay on corporate taxes for another year and increasew the tax rates on liquor and wine, cigarettes, and group accident and health insurancee premiums. The income tax rate would also rise for thosew earning morethan $400,000. Under the the tax on a pack of cigarettesd would increaseby 12.5 centds to $2.70. The tax on a 0.75 liter bottlr of wine would increaseby 3.5 and on a 0.75 liter bottle of liquofr it would increase by 21.
8 The tax rate would rise from 1 percent to 3 percent for one year on group accideny and health insurance premiums and surplusd line carriers would face a permaneny increase of 3 percent to 5 The income tax rate for those earning $400,000 to $500,000 would increase from 6.37 percentr to 8 percent. For those earning $500,000 to $1 millioh it would increase from 8.97 percent to 10.25 percent, and for thoswe earning over $1 million it would increasde from 8.97 percent to 10.
75 The budget also suspends the property tax reductioh for the 2009 taxable year for households earningt morethan $150,000 and authorizes taxatioh of state lottery winnings exceeding New Jersey has a consitutional deadline of midnighgt June 30 to enact a budget.