Sandy-Ravaged Jersey Families Face $6,933 Tax Hike in Fiscal Cliff
If there is no agreement on avoiding the “fiscal cliff” before 2013, families across the country will pay significantly more in taxes than they’re paying now – and the families in New Jersey, which was decimated by Hurricane Sandy, will be hit the hardest. The typical four-person family will pay another 6.82% of their income, roughly $6,933 more, according to the Tax Foundation.
Maryland was second, with a 6.74% increase, and Connecticut third, at 6.62%. Massachusetts was fourth, at 6.53%, and New Hampshire fifth, at 5.81%. No one would be immune to the tax hike; forty states would jump between $3,000 and $3,999, six states would rise between $4,000 and $4,999 and three would grow between $6,000 and $6,999.
New Hampshire would be the only state to see a tax increase between $5,000 and $5,999 and Maryland would be the only state to see a tax increase over $7,000.
The Tax Foundation asserts that lower-income families would be hit the hardest because of the changes to the child tax credit; the restoration of the 15% tax bracket, which would eliminate the 10 percent bracket, and the reduced standard deduction for married filers. All of these were provisions in the 2001 and 2003 Bush tax cuts.