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The exit tax to which you are referring is a Realty Transfer Tax, which is not limited to NJ, other states have the same tax. It is 2% on "consideration" of sale, not profit. If you are remaining in the state, or have not become a resident of another state and plan to file a NJ income tax form, the same year, you don't pay it. If you haven't lived in your house for at least two years, you will have to pay capital gains tax.
To be clear, you have to pay it when you file your taxes. So either way you pay it. They just collect up front if you are moving out of state.
and the reason that you do not pay to enter the state is that if there is a back up at the tolls they would rather have them in NJ instead of Philly or Manhattan
The NY/NJ tolls used to be both ways. I think when the toll went up to 50 cents someone somewhere got the idea to charge $1.00 one way coming in instead. Thinking it was during the 1970's sometime. I distinctly remember queing up on the Manhattan side to pay the Holland Tunnel tolls to NJ. Lincoln, GeeDub, SI bridges the same.
The New Jersey exit tax is a required estimated tax payment that residents who sell their homes in New Jersey to move out of state must pay. The amount of the exit tax is the standard state tax rate on the profit a resident makes from a home sale.The purpose of New Jersey's exit tax is to ensure that state residents who sell their homes pay the appropriate tax on the money they earn, even if they move out of state before the end of the year and don't file a New Jersey state income tax return in the following year. Since this tax is required by law, the exit tax simply requires residents to pay it earlier than they otherwise would.
I was always under the impression that the state of New York is the one charging people because we only have to pay going into NY rather than coming back. Wouldn't NJ be charging us if we had to pay coming back to Jersey from the city? Yes, the tolls are on the Jersey side but I mean it's not like you can turn around on a bridge like the Goethals or GW and say "never mind, I don't want to pay, back to Jersey I go!" So I always thought NY was the one charging people. Technically, though, for NYC at least, wouldn't it be the Port Authority that is charging people to cross? All bridges and tunnels from NYC to NJ are operated by the Port Authority.
I was always under the impression that the state of New York is the one charging people because we only have to pay going into NY rather than coming back. Wouldn't NJ be charging us if we had to pay coming back to Jersey from the city? Yes, the tolls are on the Jersey side but I mean it's not like you can turn around on a bridge like the Goethals or GW and say "never mind, I don't want to pay, back to Jersey I go!" So I always thought NY was the one charging people. Technically, though, for NYC at least, wouldn't it be the Port Authority that is charging people to cross? All bridges and tunnels from NYC to NJ are operated by the Port Authority.
For the Ben Franklin and Betsy Ross the toll plazas are on the NJ side headed into Philly. On the Walt Whitman the toll plaza is in South Philly as you enter the city.
I think it has to more to do with where they had the most real estate available when they built the bridges. I'm not that old and I remember when they had toll booths for both directions in Camden. They got rid of the eastbound tolls because . . . why would you pay two guys to collect a quarter when you can pay one guy to collect fifty cents?
Quote:
Originally Posted by jim732
The New Jersey exit tax is a required estimated tax payment that residents who sell their homes in New Jersey to move out of state must pay. The amount of the exit tax is the standard state tax rate on the profit a resident makes from a home sale.The purpose of New Jersey's exit tax is to ensure that state residents who sell their homes pay the appropriate tax on the money they earn, even if they move out of state before the end of the year and don't file a New Jersey state income tax return in the following year. Since this tax is required by law, the exit tax simply requires residents to pay it earlier than they otherwise would.
In other words . . . it's a way to make sure you don't skip town without paying your income taxes. If you leave the state and file your taxes like you're supposed to you get the money back.
This confuses a lot of Jersey folk who are accustomed to using "95" and "the Turnpike" as interchangeable terms.
I-95 runs on the PA side from the Delaware border, across the Scudders Falls Bridge and "ends" at Route 1 in Lawrence Twp. where it turns into 295 and heads back south . . . but this wasn't "the original alignment". The NJ Turnpike was completed in 1951 and I-95 through Philadelphia wasn't finished until 1979.
I-95 (according to the FHWA) also begins at the toll plaza across the Delaware River on the Pennsylvania Turnpike Extension and continues up the NJ Turnpike from exit 6 northwards.
All this confusion should be over in 5 years when realignment for I-95 is complete. At that point if you're coming from NYC and headed south and follow the I-95 signs it will take you down to exit 6 on the NJTurnpike, put you on the PA Turnpike, over the river then on to present day I-95 in Bristol, PA.
A picture is worth a thousand words . . . Both routes are called I-95 by the FHWA Untitled - Google Maps
That business of connecting I-95 to I-95 has been promised for decades, yeah. Lately there was a news article quoting it as to be done around 2025, yup and costing $1.3 billion, yup.
I guess that is including building a second bridge to split the traffic from Bristol PA to whatever in NJ where I-276 goes across and I guess they might open the link before they build the 2nd bridge, etc?
A few years ago it was promised to be open waay in the future, around the year 2008
About tolling between NYC and NJ I'm thinking it changed from 2 ways to 1 way sometime about 1978 give or take a year. I remember Barry Farber the talk show host talking about it on WMCA saying we need more ideas like that and that's about when I worked at WMCA. Friends would joke about "You pay the toll going in and I'll pay it on the way out" after they switched to one way tolling.
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The New Jersey exit tax
