LONG BRANCH, N.J. (CBSNewYork)President Donald Trump’s new tax plan is supposed to save you money on your taxes, but homeowners in the Tri-State Area are especially concerned about how it could affect them in the long run.

As CBS2’s Meg Baker reported, that has local lawmakers working on their own plan.

Under Trump’s tax reform, New Jersey residents could pay more taxes, and property values are expected to go down. Homeowners will now only be able to deduct $10,000 in property taxes at the federal level, and Gov. Chris Christie said that just doesn’t cut it.

He’s got a new idea at the state level.

“In my view, we should make property taxes on our state income tax returns completely deductible in response to what the federal government has done, because if we don’t, it will have an effect on property values in the state,” Christie said.

State and local tax deductions are especially important in the Garden State, and other high-tax states that send billions of dollars more to Washington than they receive in grants and services.

“It will affect property values in our state, but we can fix that,” Christie said.

Cue one of Christie’s fiercest opponents in Trenton. State Sen. Ray Lesniak (D-Union/Elizabeth) rarely agrees with Christie, but this time, they’re on the same page.

“We’re on the same page on sports betting, and every once in a while, we get together to do the right thing,” Lesniak said, “and this is certainly the right thing for homeowners of New Jersey.”

Lesniak is sponsoring a bill to allow homeowners to deduct all of their property taxes from state income taxes.

“This will at least reduce that amount by half or even three quarters 3of what they would have to pay because of President Trump,” Lesniak said.

But would this $150 million dollar break for taxpayers create an even larger deficit in the state budget? They already have an antidote.

“I propose closing corporate tax loopholes that 40 there states have already closed. It’s been pending in the Senate for two years now,” Lesniak said.

Lesniak is hoping to complete a Hail Mary pass to Christie and the taxpayers of New Jersey before Phil Murphy steps into office as governor.

The bill is being drafted now, and Lesniak is looking for support in the Assembly.

Comments (3)
  1. It is true NJ taxes are high but they are also paying for the majority of services I use as a citizen(schools, roads, hospitals, police, sanitation, water,etc). I’m paying a lot more in federal taxes than I am paying state. There was a time when most of our taxes went to the states we lived in and not to the gigantic federal government. I believe the slap on the states using salt deductions was more about getting votes than for fiscal reasons. I like some of the cuts that are in the bill but we need to focus more on cutting spending.

  2. Adam Ver says:

    We need tax reform in NJ. Our property taxes and growth rate are just unsustainable. Having said that, our NJ legislators also need to represent us well at the federal level. Salaries from blue states tend to be higher nationwide and so we pay a higher amount of federal tax than other red states. We need to ensure that we get our money’s worth from the tax we pay.

  3. hocuspocus13 says:

    The problem is not President Trump and his Tax Reform

    But rather…

    The robbing of our hard earned dollars in the form of Tax that our Elected Politicians do here in NJ

    Here’s another solution

    Lower our Property Taxes

    Most of us pay around

    $10,000+ yearly

    Why should the rest of America go without Tax Reform because of 3 States that gouge its Residents

    NY
    NJ
    CA

    All President Trump’s Tax Reform does is allow us to see just how much we are being taken for

    💰💰💰

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