For about 50 percent of residents, the plan unveiled by Governor Deval Patrick on Wednesday night would mean a tax hike. But Patrick argues that there will be a new element of fairness in the system by pushing more of the tax burden onto higher-income earners and reducing it for those earning less, a long-held liberal goal.
Patrick has proposed a $1.9 billion tax increase to pay for an ambitious agenda. Elements of the plan include hiking the state income tax from 5.25 percent to 6.25 percent, while also lowering the sales tax from 6.25 percent to 4.5 percent.
Comments
Yup, Governor Patrick really wants that Kennedy "Profile in Courage Award" - aka I raised taxes.
Maybe we should start by discussing how state pensions are not taxable at the state level - but of course they are taxable for us lowly ones in the private sector.
Good point.
Forgetting to mention that a VERY large segment of Ma. residents get their necessaties for FREE (EBT crowd) and don't pay sales taxes on anything. The poor working slob, however, gets slammed with ANOTHER rather large reduction in their tax return check which they no doubt had planned to use on something usefull like a vacation, or a down payment on a better car. OR JUST TO PAY BILLS. AN INCREASE IS AN INCREASE IN TAXES AND THIS IS ONE OF THE MOST ARROGANT INCREASES IN MASS. HISTORY! Just because you're rich Deval, don't make decisions for us taxpayers that will REALLY hurt for a very long time.
Tax refund? From Massachusetts? I will just be getting a larger bill...
Taxes, taxes and more taxes. They wouldn' be so bad if they got us somewhere, if the government learned how not to flush much of the revenue down the toilet.
The state gives billions of dollars in corporate welfare -- tax breaks, sweetheart land deals, cash grants, low-interest loans -- to corporations every year. Patrick knows these serve no public purpose. We shouldn't pay one additional dollar until this corrupt cronyism is ended.
MA state taxes are already pretty progressive. The lowest income earners are exempt (and Patrick wants to increase the cutoff income) and capital gains (earned to a greater extent by the affluent) are taxed at a higher rate. And of course, those on the dole pay no income taxes. With respect to sales taxes, groceries and items of clothing that cost less that $175 are exempt. This benefits low income persons as a greater percentage of thir budget goes for these items. I fail to see how Deval's changes makes anything more "fair."