New Jersey's revenue for the current fiscal year derived from the gross income taxes will be approximately $6.8 billion. This compares to only $5.8 billion just two years ago, a dramatic increase of $1.2 billion, a 23 percent increase.

Much of this increase is credited to a booming economy. However, a significant portion of the increase is hidden because New Jersey does not index for inflation its exemptions, deductions and tax brackets. This is known as bracket creep. Bracket creep results in the reduction of disposable income and hits middle-income families hardest.

For example, a family of four making $85,000 in New Jersey, and taking only deductions for personal exemptions, will pay a New Jersey gross income tax of $1,645. Let's say inflation over a four-year period runs 10 percent and the family income grows at the inflation rate. The family income will go up 10 percent to $93,500. However, the family's New Jersey gross income tax bite will rise 28.6 percent to $2,115. Sound tax policy and indexing would have saved this family $305 in that year, holding the tax increase to 10 percent, rather than 28.6 percent.

In another example, a single parent with one child initially makes $42,500 and, over several years, inflation increases that parent's income by 10 percent to $46,750. Unfortunately, the New Jersey gross income tax will rise from $718 to $953, an increase of 32.7 percent.

As a certified public accountant and tax attorney, I understand all of the inner workings of New Jersey's income-tax system. If I am elected to the Assembly (representing East Brunswick, Edison, Metuchen, Milltown, North Brunswick and South River), I would introduce legislation to eliminate this hidden tax increase through the indexing of tax brackets, exemption and deductions.

If the Legislature needs more money for property-tax relief (for which the gross income tax is dedicated), the legislators should be required to vote for it. Hidden tax increases are unfair, unacceptable and should be eliminated.