The Massachusetts Fiscal Alliance made the following statement following Governor Charlie Baker’s announcement on Wednesday of his latest plan to offer consumers and state businesses a temporary sales tax holiday for the months of August and September.

“Tax cuts are not gimmicks to those who want to keep more of their own money. The most pressing threat still looming for businesses and their workers is the massive debts being passed down to them by the state via the strained Unemployment Insurance Trust Fund and the regressive TCI gas tax which Governor Baker is still insisting on, despite almost no regional support. The UI Trust Fund debt will act as a long-term tax for businesses and Gov. Baker’s TCI gas tax will bring California prices for gasoline and diesel fuels, putting Massachusetts at an economic disadvantage in New England,” stated Paul D. Craney, spokesman for the Massachusetts Fiscal Alliance.

A majority of states are using CARES or ARPA funds to help businesses pay off the debts associated with the massive draw on UI funds during mandated shutdowns, but Massachusetts State House leaders have refused to make a similar pledge even though the debt is a result of Gov. Baker’s restrictions. The TCI tax originally began with 12 northeast states and now only Massachusetts is still fully committed, with lawmakers in Connecticut refusing to adopt the scheme and Rhode Island still not approved by their legislature. The regressive TCI gas and diesel tax aims to drastically increase automobile fuel prices by lowering the supply of fuels in hopes of driving down demand with high prices and subsidizing electric vehicles.

“Massachusetts is collecting more tax money than they ever dreamed of, and Massachusetts taxpayers are among the most generous in the country. State House politicians should share some of the riches with the taxpayers and not keep it all for themselves to spend in a self-centered and reckless way” concluded Craney.