Following reports that Massachusetts House Speaker Ronald Mariano would not be including Governor Maura Healey’s proposed prescription drug tax in the House budget, the Massachusetts Fiscal Alliance released the following statement applauding the House’s decision to drop Healey’s controversial new tax that was poised to raise healthcare costs across the Commonwealth.
“Governor Healey’s proposal was just another tax on the people of Massachusetts and its rejection spares Massachusetts consumers from more unnecessary cost burdens. Rather than imposing a harmful tax that would have inevitably been passed down to patients, lawmakers should focus on policies that increase transparency and competition in the healthcare market,” said Paul D. Craney, Executive Director for the Massachusetts Fiscal Alliance.
Healey’s plan, introduced as part of her $62 billion annual budget, sought to generate $60 million in revenue by imposing a “pharmacy assessment” on prescriptions, up to a maximum of $2 per prescription. The new tax was all but guaranteed to be passed on to consumers. The Governor’s tax hike proposal was not publicized in the Governor’s budget by her administration, yet Massachusetts Fiscal Alliance’s policy team found the tax and was the first to make it public.
“We urge the Senate to follow course and reject Governor Healey’s prescription drug tax. Healthcare costs are already too expensive, and the people of Massachusetts are taxed enough already. We urge policymakers to pursue reforms that actually help all people of Massachusetts, not unleash targeted taxes on people already needing medical attention. Massachusetts should be looking for ways to grow our economy and increase our competitiveness, not drive businesses and investment away with more taxes,” closed Craney.