New Jersey Passes $56.6 Billion Budget with Corporate Tax Hike

Lawmakers approve increased taxes on large businesses to fund NJ Transit and property tax relief for seniors.

The new budget includes a 2.5% surcharge on companies earning over $10 million annually, raising the corporate tax rate to 11.5%.
Funds from the corporate tax hike will provide NJ Transit with its first dedicated funding source, aiming to address a $1 billion shortfall.
The budget allocates $220 million to support the Stay NJ program, offering property tax relief to senior homeowners starting in 2026.
Critics argue the budget process was rushed and lacked transparency, with lawmakers having limited time to review the 400-page document.
The budget also fully funds the state's school funding formula and pension system for the first time in years.