In Jersey City’s mayoral race, payroll taxes have taken center stage.
Jersey City officials earlier this week announced they had increased payroll tax collection by 50%, from about $60 million to $103 million, with an audit that found companies not paying payroll taxes. Hudson County Commissioner Bill O’Dea, who is running to be mayor of Jersey City, said the city should enforce its payroll tax collection more stringently.
The city’s payroll taxes fund public schools in the city, and O’Dea criticized the city for allowing payroll taxes to go unpaid. O’Dea said the lack of strict payroll tax enforcement has hurt the city’s schools.
O’Dea is one of several candidates hoping to succeed Jersey City Mayor Steven Fulop, who is running for governor.
O’Dea released a plan earlier this year that would require Jersey City businesses to estimate their payroll tax liability to acquire a business license.
“For too long developers have been allowed to bypass their payroll tax obligations, depriving our city of vital resources needed to fund our public schools,” O’Dea said in a release. “I was the first to advocate for a simple yet effective solution: deny permits and certificates of occupancy until payroll taxes owed are paid, period.”
Jersey City Councilmember James Solomon, another candidate for mayor, celebrated the increase in payroll tax participation earlier this week.
“Large corporations across the city have an obligation to pay into the city’s payroll tax, which helps fund our city’s public schools,” Solomon said in a release. “I am thrilled that our office’s efforts to raise awareness around the tax has netted over $103 million for our public schools, and I am incredibly grateful to City Hall staff and the administration for their help.”