Murphy, state leaders hammer out deal on N.J. tax increases

State budget agreement

Gov. Phil Murphy (center) speaks at the New Jersey Statehouse in Trenton in 2023. Behind him are state Assembly Speaker Craig Coughlin (left) and state Senate President Nick Scutari (right).Michael Mancuso | NJ Advance Media for NJ.com

With a week to go before the deadline, Gov. Phil Murphy and legislative leaders are finalizing a deal on a new state budget that would include tax hikes on cigarettes, luxury homes, and online gaming in New Jersey — but not on bowling, batting cages, and laser tag, as originally proposed, NJ Advance Media has learned.

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