tr0226christie 8 KURDZUK.JPG

Gov. Chris Christie has said his budget proposal contains no new taxes. But some revenue-raising measures it includes are similar to previous Democratic measures that Christie derided as tax increases.

(Tony Kurdzuk/The Star-Ledger)

TRENTON — What is a tax? It depends on whom you ask — and when.

Gov. Chris Christie's $34.4 billion budget proposal includes several revenue-raising measures, like requiring the increasingly popular electronic cigarettes to be taxed at the same rate as traditional cigarettes, and making online retailers charge state sales tax.

Yet in his February budget address, Christie boasted of his fifth straight budget without any new taxes. Nor will you hear administration officials refer to revenue enhancements as taxes. Instead, state Treasurer Andrew Sidamon-Eristoff has used words like "tax parity," "fairness" and "adjustments."

"Governor Christie is taking action to level the playing field and promote tax fairness by closing corporate tax loopholes, removing inconsistencies, and modernizing enforcement for tax delinquents," Eristoff said in a statement accompanying the budget rollout."

As he put it, "These common sense reforms will promote tax fairness for tax-paying families who play by the rules, while generating an estimated $205 million in revenue to support those investments that matter most."

But Democrats — who have been harshly criticized by Gov. Chris Christie and fellow Republicans for "115 increases in taxes and fees" in recent years — say there is no difference between what they have done and what Christie is now proposing.

"Hypocrisy is an understatement," Assemblyman Gary Schaer (D-Passaic), the Budget Committee chairman, said in a recent interview. "The Republicans are doing precisely what they accused the Democrats of doing. At least the Democrats were straight and direct about what they were doing and why."

For instance, a 2004 law raising the cigarette tax by 55 cents a pack was included on Republicans’ list of 115 taxes Democrats were responsible for. Now Christie’s budget proposes taxing electronic cigarettes — which currently carry the normal sales tax — at the same rate as the traditional tobacco variety.

In addition, under the budget proposal businesses within the state’s 32 Urban Enterprise Zones would no longer be exempt from the 3.5 percent sales tax when buying from other zone businesses.

Eristoff said the proposed changes would bring about "tax fairness and equity."

But again, a 2006 measure passed by the Democrat-controlled Legislature that narrowed sales tax exemptions in the enterprise zones was included in the list of taxes that had been criticized by Republicans.

Another major proposal of Christie would require online retailers situated outside New Jersey to charge a sales tax to customers within the state. However, Eristoff took pains to emphasize at a recent budget hearing that it was "not a new tax" because by law, New Jersey customers were supposed to pay sales tax.

Other revenue-producing measures included in Christie’s budget would extend penalties for bouncing checks to electronic transactions, close loopholes that allow out-of-state business partners to collect New Jersey tax refunds even if they didn’t pay taxes in the state, and tweak the corporate business tax code to prevent businesses from sheltering certain income.

Kevin Roberts, a spokesman for Christie, insisted that these were not new taxes and that taking on Democrats — including former state Sen. Barbara Buono during the gubernatorial campaign — for instituting their own revenue-raising measures was fair game.

"When you’re talking about it in the context of the campaign, that’s how she was going to govern," Roberts insisted. "That’s what her record was. And during the campaign she proposed billions of new spending and no way to raise the money."

Nevertheless, at least one Republican on the budget committee said he preferred calling a tax a tax — and that he wouldn’t vote for raising them.

"As a general matter, these look to me to be tax increases," Assemblyman Jay Webber (R-Morris) said. "So unless I see something different that makes me think differently over the next couple months, I see them as tax increases."

RELATED COVERAGE

• A roadmap to Christie's new $34.4 billion budget

• More Politics







FOLLOW STAR-LEDGER POLITICS: TWITTER • FACEBOOK • GOOGLE+