The New Jersey Department of the Treasury on Thursday unveiled its tax amnesty program that is expected to generate a one-time infusion of up to $200 million in revenue for the current fiscal year.
Individuals and businesses who have still not paid taxes owed between Feb. 1, 2009 and Sept. 1, 2017, will have a two-month window between Thursday and Jan. 15 to pay back the taxes with reduced interest and no penalties.
Under the program, taxpayers would be able to pay half of the balance of interest owed as of Nov. 1, otherwise they would incur a 5 percent penalty on top of any other penalties and interest they owe.
Assembly Speaker Craig Coughlin, D-19th District, unveiled the amnesty program in June as budget talks began picking up steam.
Coughlin’s proposal initially drew the criticism of Gov. Phil Murphy, who decried these kinds of revenue sources as “one-shot gimmicks.”
Murphy later reversed course days before the July 1 budget deadline as he and the Democrat-controlled Legislature aimed to reach a budget compromise and avoid the second government shutdown in a row.