New Jersey Business Environment Ranks Low
Jay Bhatti, a Marlboro resident, has a good vantage point. He owns a venture capital company called BrandProject and has offices at Bell Works in Holmdel, New York City, Seattle and Toronto. He has urged New Jersey to take a page from Washington, home to companies like Microsoft and Amazon, to revive its high-tech engine.
The two have similarities: They offer a high quality of life. And they are outside the high-tech pressure cookers of Silicon Valley and New York City, giving workers a chance to focus on the task at hand. Namely, innovation.
But they diverge on taxes. Washington has no state income tax, helping it rank 17th in The Tax Foundation’s study.
While lawmakers fight it out, Bhatti has a more subtle proposal: Eliminate the capital gains tax on income entrepreneurs make when they sell their business or take it public. It would attract more high-tech companies, he said.
“It creates a cycle,” Bhatti said. “Then they basically reinvest in state and becomes a very good cycle for us.”