Coming to a State near you. From a yahoo chat board
(snip)"Now, up until earlier this year, many New Jerseyans selling their homes and moving permanently out of state were utilizing the GIT/REP3 (Resident) form, based on the assumption they would be filing New Jersey income taxes for that tax year and would pay the taxes (if any) on the sale of the property at that time. As of July 2007, they can no longer do so. The state Division of Taxation has "amended" their position that, in order to utilize the Resident form, the seller MUST be moving to a New Jersey address as of the date of deed transfer, or they must use the NonResident (GIT/REP1) form, thereby requiring them to pay the minimum 2% of the deed consideration directly to the state. I can only surmise that the sheer volume of residents fleeing to greener pastures - plus seeing an opportunity to further bloat the coffers - is what prompted NJ in its infinite wisdom to "clarify" their filing instructions
So, while it's not an "exit tax" per se, that is essentially what it has become - one last way for the Garden State to stick it to you on your way out the door."(snip)






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