O’SCANLON : CUTTING OR ELIMINATING PROPERTY TAX REBATES IS NOT THE WAY TO GO

With increasing speculation about the future of the state’s property tax rebate program, Assemblyman Declan O’Scanlon, R-Monmouth and Mercer, said that abolishing the program would have a huge impact on people who already pay the highest taxes in the country. News reports indicate that if rebates are not eliminated entirely, they may be scaled back to only include senior citizens and those who have been impacted by the recession.

“Given the hardships that many property taxpayers are facing, I disagree with the strategy that throws another punch at homeowners,” stated O’Scanlon. “According to the administration, increasing the sales tax in 2006 was supposed to ensure that property tax relief would continue.

“Now consumers pay a higher sales tax and property owners will continue to bear the burden. It is a classic lose-lose situation. This is just another example of a broken promise by the governor. Slashing tax rebates isn’t a spending cut – it’s a tax increase.”

Last year the rebate program was reduced by over $380 million.

“Getting New Jersey’s fiscal house in order is a priority, but we should not attack a program that gives some help to taxpayers,” continued O’Scanlon, who is member of the Assembly Budget Committee. “Republicans have suggested that a different approach to helping homeowners would be to provide a direct credit on their property tax bill or as a credit against their income tax liability. This would eliminate a lot of the bureaucratic red tape and save the state money on the short-term interest it pays when the checks are mailed.”

O’Scanlon was referring to the Republican Common Sense Plan for an Affordable New Jersey which was unveiled last May and contains numerous proposals for reducing spending, reforming the budgetary process, and encouraging economic growth.

“We face a great challenge in balancing the current and upcoming budget,” commented O’Scanlon. “However, the last thing we need to do is ask for more sacrifices by the taxpayers. First and foremost, Governor Corzine must recognize that what really needs to be curtailed is the runaway spending in Trenton.”

The Republican Common Sense Plan for an Affordable New Jersey can be found at njassemblyrepublicans.com.