State Rep. Steve Santasiero talking about the negative impact the end of the bi-state tax agreement could bring.
Credit: Erich Martin/NewtownPANow.com
Chris Christie, the one time presidential candidate and current governor of New Jersey, could change a tax agreement between Pennsylvania and New Jersey that has existed for more than 40 years.
The change would impact the more than 46,000 residents of Bucks County who work in New Jersey. The change would end a bi-state agreement that allows commuters in both states to pay income tax in their state of residence.
The implications that Bucks County residents would feel is being brought to Christie’s attention by Rep. Steve Santasiero (D-31) and several other Bucks County lawmakers.
Santasiero, who is running for congress as a Democrat, stood at the base of the “Trenton Makes” bridge in Morrisville Wednesday afternoon to present the fact that a petition with more than 3,500 signatures from Bucks County residents working in New Jersey had been brought to Christie’s desk.
The petition is in direct response to Christie’s review of the nearly four decade-old reciprocal income tax agreement agreement between the two states.
“It could provide substantial hardships,” Santarsiero said. “We urge governor Christie to consider the possible implications.”
According to Santarsiero, Christie must make a decision on the agreement by Friday, September 2, which is why the petition was delivered Wednesday.
Tim Marchok is a resident of Bucks County but works in New Jersey. Having worked in Plainsboro, New Jersey for 18 years, Marchok feels that changing the tax agreement would be unfair. “I think it’s grossly unfair to increase taxes for this portion of the population,” he said.
Santasiero speaking to reporters.
Credit: Erich Martin/NewtownPANow.com
The importance of the measure was then stressed by Santarsiero, mentioning the potential hurt the change could bring to working families.
As it currently stands, workers in either state pay income taxes in their home state. This measure would change the tax system so that employees pay taxes in the state in which they are employed. New Jersey’s scaling income tax means that at $35,000 per year, workers would have a higher tax rate than Pennsylvania’s flat 3.07 percent rate, according to a press release from Santasiero.
According to the state representative, an exit from the agreement only requires 120 days’ notice and does not require legislative action by either state.
As of the press conference, Christie’s office had not gotten back to Santarsiero’s office.
