NJBIA and the New Jersey State Chamber of Commerce recently held a meeting of their Joint Taxation & Economic Development Policy Committee. The focus was on issues affecting New Jersey's economy and national policies under President Donald Trump.
John G. Murphy, Vice President of the U.S. Chamber of Commerce, addressed Trump's proposed tariffs and their potential economic impact on businesses in New Jersey. Murphy stated that these tariffs could lead to a 1% decline in GDP and may become a burden for American consumers. He mentioned that previously implemented tariffs have negatively affected job creation and manufacturing investment. Murphy also discussed the possibility of international repercussions, including retaliatory tariffs from other countries.
Lenore Heavey, senior tax counsel for the Council on State Taxation (COST), spoke about tax policies under Trump, focusing on the expiration at the end of 2025 of many provisions from the Tax Cuts and Jobs Act (TCJA). She highlighted implications for small businesses and the national deficit. Heavey also talked about the State and Local Tax (SALT) cap which limits federal income tax deductions for state and local taxes paid by taxpayers, set to expire at the end of 2025.
Senator Andrew Zwicker shared his views as a member of the state Senate Budget & Appropriations Committee. He stressed innovation-driven economic growth as essential for addressing financial challenges in New Jersey's FY26 budget starting July 1. Zwicker emphasized maintaining a balanced budget per constitutional requirements while advocating for AI development studies, computer chip manufacturing innovation, and federal energy grid investments.
Christopher Emigholz, NJBIA Chief Government Affairs Officer, provided legislative updates related to business issues in Governor Phil Murphy’s State of the State address. He previewed next month’s state budget address expecting it to show an increase in New Jersey’s structural budget deficit.
Amirah Hussain from the State Chamber of Commerce shared updates on bills affecting tax credits and local programs.
The next meeting is scheduled for April 29.
