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Expert Analysis

NJ Tax Stop: Indirect Sales Tax Assessment Methods

By Reuben Muller, Geoffrey Weinstein and Juliya Ismailov ( June 17, 2019, 5:14 PM EDT) -- New Jersey's sales tax rate is one of the highest state-levied sales tax rates in the country and generates a significant portion of the state's revenue each year. Since Jan. 1, 2018, the sales tax rate has been 6.625%.[1] Sales tax brought New Jersey more than $9.6 billion in fiscal year 2018[2] and New Jersey Gov. Phil Murphy's proposed budget estimates that it will grow to $11.2 billion in fiscal year 2020.[3] According to his proposed budget, sales tax represents the second largest source of revenue in the state at 28% (after income tax at approximately 40%).[4]...

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