Monday, August 14, 2006

Sales Tax: Delaware 0%, New Jersey 7%

We took a trip to Delaware from New Jersey of almost 400 miles by car roundtrip on Saturday, August 13, 2006 and was surprised and impressed on what we found.

It was a real nice pleasant day and easy to get to our primary destination. We traveled down the New Jersey Turnpike and it cost $3.40 each way, crossed the Delaware Memorial Bridge and it cost $3.00 one way, and paid $2.25 roundtrip on the highway 1 and 13 Delaware tollroad, we got on and off at different places.

We stopped at the Entenmann's bakery discount store and bought some cake at less than half normal price. We also dropped by some other interesting stores and bought a few small items. We went to Sonic Drivein Restaurant and was not charged tax. We dropped into a farm tractor store and looked around. We travelled down U. S. Highway 13 South about 80 miles and saw about 20 or more housing developments. We saw many signs to Delaware beaches but did not go there...we will have to look at a map to see how close we were to the beaches.

We met many people. All you have to do is smile and say I am from New Jersey and you'll get a reaction. Many people in Delaware are New Jersey transplants. They all tell you about the zero sales tax and very low real estate taxes in Delaware. Some mention you can save money at least $.25 per gallon with ethanol in Maryland, a neighboring state instead of gasoline. They all said they were also able to save on the Delaware house prices too. Most seemed early retired military, police, and teachers from New Jersey that moved to Delaware to save money and that they could no longer afford New Jersey sales tax or real estate taxes.

We passed a University of Delaware campus, the Delaware State Fair grounds, I think Delaware Downs (a race track), Tony Danza (and other big name entertainment) will appear soon at a venue there that we passed, as wetraveledd down U. S. 13. With all of the farmland andconstructionn of family homes, the area reminded me of Ocean County New Jersey during the early 1960's when I was a child when it was mostly farmland and chicken ranches and had a lot of single family home construction.

From what I saw and heard, Delaware makes a fine alternative to New Jersey and I could save each year $7,000 in real estate tax and probably $300-400 in sales tax and even more if I made a big purchase like a new car. I think I could also save a lot of money on selling my New Jersey house and buying a Delaware house and put the rest of the principal into some sort of savings.

Delaware looks like a fine alternative to New Jersey.

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