Intern tax-credit bill CV: Christie wants study first

TRENTON – In conditionally vetoing a tax credit bill regarding wages paid to interns today, Gov. Chris Christie cited lack of data showing the bill would meet its goals.

He conditionally vetod A1271/S1263, stating in part that, “While I support the concept of increased employment opportunities for future college graduates, the Legislature has offered no data to show that this type of tax credit will actually lead to increased long-term employment.

“Tellingly, the bill’s own provisions call for a study concerning the effectiveness of such tax credits as a job-creation tool subsequent to the expiration of the two-year tax credit program.

“I believe that fiscal prudence requires us to conduct this study, including whether similar programs have been effective in this State or other jurisdictions, before we commit $7 million of taxpayer funds to implement the program.”

Christie pointed out that “The Legislature estimates that the tax credit proposed in this bill would reduce revenues received by the State through the corporation business tax and gross income tax by approximately $7 million over the next two years.”

As a result, Christie recommended the Department of Labor undertake such a study and report back within one year of enactment of the reworked bill.