New Jersey announces an Increase in its Gross Income Tax Rate!
New Jersey State has enacted legislation that makes the following individual income tax changes. The tax rate changes affect both New Jersey residents as well as non-residents and will also impact pass-through entity withholding obligations!
Gross income tax rate increase in 2009
The legislation, for the 2009 tax year, would increase the tax rate on gross income that is:
a) greater than $400,000 and equal to or less than $500,000 from 6.37% in 2008 to 8%;
b) greater than $500,000 and equal to or less than $1,000,000 from 8.97% in 2008 to 10.25%;
c) greater than $1,000,000 from 8.97% in 2008 to 10.75%.