Proposed Legislation Would Conflict with the will of the Voters and Punish State Competitiveness
It only took three short months for advocates of higher taxes to propose legislation that would supercharge the recently passed income tax surcharge, which on January 1 raised the state income tax by 80 percent on some small businesses, retirees, home sales, and high-income earners. As noted in the publication of a study that posited many couples would begin to file their taxes as individuals, legislation was filed that would supercharge the 80 percent income tax surcharge, by taking away the ability for taxpayers to file their taxes as individuals for state income tax purposes, if they filed as a married couple on their federal taxes. The proposed legislation is named, “An Act to Prevent High-Income Tax Avoidance” and it’s sponsored by State Rep. James O’Day and state Senator Jason Lewis, who are also the authors of the original income tax surcharge.
“Before lawmakers could figure out how to spend the money from this new tax hike, or how it will negatively impact our state’s economic competitiveness, some lawmakers are looking to supercharge the income tax surcharge by adding further restrictions. These lawmakers want to return to the day of Taxachusetts as soon as possible and this tax along with their legislation does just that,” noted Paul D. Craney, spokesman for the Alliance.
“The income tax surcharge ballot question was narrowly passed, and this legislation is already looking to alter how it’s implemented. This is moving the goal post from how the voters considered the tax last November. It shouldn’t come as any surprise that some lawmakers are willing to disregard the will of the voters so soon after the election, they routinely ignore the will of the voters in order to appease their own tax and spend habits,” continued Craney.
“Any further moves to supercharge the income tax surcharge, will only result in more taxpayers fleeing our state for states like New Hampshire and Florida. Once these taxpayers are gone, the middle class that is left will be required to pay higher taxes to make up for the legislature’s tax and spend habits,” concluded Craney.