December 7, 2011

New Jersey Moves to End Discriminatory Taxing of Global Companies

Washington DC – New Jersey Governor Chris Christie’s Administration released important formal guidance today to clarify the state’s treatment of the U.S. subsidiaries of foreign companies and ensure a non-discriminatory tax environment for global investors. This Department of Treasury guidance will encourage foreign companies to further invest and create jobs in New Jersey.

 “We applaud Governor Christie’s leadership and determination to keep New Jersey attractive for new investment from abroad,” said Nancy McLernon, President & CEO of the Organization for International Investment. “States are becoming increasingly competitive in the race to attract world-class global companies. This guidance helps to address a long-standing concern for global investors in the state and demonstrates that the Governor is serious about working with our business community.”

 This action from the Christie Administration is consistent with the Governor’s stated goal of making New Jersey a premier destination for investment and job creation from global companies. The U.S. subsidiaries of global companies already provide more than 226,000 direct jobs in New Jersey – nearly 7 percent of the state’s total private-sector workforce.

Facts about U.S. Subsidiaries of Global Companies in New Jersey:

• U.S. Subsidiaries employ 226,400 workers in New Jersey, or 7% of the total private-sector workforce.
• New Jersey is ranked 7th in the U.S. in terms of the number of employees supported by U.S. Subsidiaries.
• U.S. Subsidiaries are heavily invested in New Jersey’s manufacturing sector, directly employing 72,000 manufacturing jobs in the state.

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The Organization for International Investment is a Washington-based business association representing U.S. subsidiaries of global companies. For additional information, see OFII’s web site at www.ofii.org.