Appellate panel upholds Jersey City payroll tax
Updated Feb 19, 2021;
Jersey City’s 1% payroll tax is constitutional and does not place an undue burden on businesses in the city, a state appellate panel ruled Tuesday.
The special payroll tax, on Jersey City businesses or out-of-city firms that employ people in Jersey City, was enacted in 2019 and dedicated for school purposes after the state announced it would make drastic cuts to the city’s public school district.
“Today’s decision was a win for all Jersey City educators, parents, taxpayers, and students,” city Board of Education President Mussab Ali said. “However, it highlights the extraordinary circumstances faced by the Jersey City school district.”