Senator Oroho urges Booker and Menendez to support New Jersey in remote work tax fight with New York
NEW JERSEY – After New Jersey’s United States Senators weighed-in on Tri-State dispute with New York over billions in federal transportation aid, State Senator Steven Oroho called on Senator Cory Booker and Senator Bob Menendez to join the fight against our neighbor’s unfair taxation of remote workers from the Garden State.
“It’s both shocking and dismaying that the Murphy administration has been so timid as Governor Cuomo continues to find new ways to shakedown New Jersey and our taxpayers,” said Oroho (R-24), the Senate Republican Budget Officer. “For months, we have been waiting and calling upon the administration to, at least, change their instruction actually telling New York companies to withhold New York taxes from New Jersey residents who are working at their kitchen table rather than the lower NJ taxes, but they haven’t even done that.
“If the Murphy administration is unwilling to fight for New Jersey, our United States Senators and our whole Congressional delegation should take up the fight over the taxation of remote work in Congress,” Oroho said.
Since last year, Oroho has urged the Murphy administration to push back against New York’s unfair taxation of income of New Jersey commuters who were working from home during the pandemic; many of whom will continue to work remotely.
Ending New York’s taxation of income earned in New Jersey could cut in half the state income tax bills of many remote workers while generating $1 billion or more of new revenues for New Jersey’s Property Tax Relief Fund, Oroho said,
Despite indications that remote work arrangements will become permanent for many employees, the Murphy administration continues to advise businesses to withhold New York income taxes for workers whose companies have offices located in New York, Oroho said.
Oroho suggested that Senator Booker and Senator Menendez might be willing to take up the fight in Congress after they responded to help push back against New York’s new attempt to grab an oversize portion of more than $14 billion of federal transportation aid that is being sent to the Tri-State region.
“There are a number of steps the Murphy administration could take to fight for New Jersey, including filing a federal lawsuit and changing the withholding guidance for employers,” Oroho said. “Given the continued inaction from the Murphy administration, I would strongly encourage Senators Booker and Menendez and the whole Congressional delegation to explore federal legislation to address the interstate taxation of remote work. We know that New Jersey isn’t the only state that’s suffering due to grossly outdated tax policies. With a permanent shift to remote work, this is a problem that will explode if we don’t fix it now.”