In November, voters passed the Fair Share Amendment, decisively choosing to raise significant new revenue for investments in transportation and public education by increasing taxes on the richest taxpayers.
Any additional changes to state tax policy should similarly prioritize fairness while preserving state revenues that are necessary to sustain long-term improvements in both education and transportation, as well as other critical areas such as housing, health care, and human services.
Unfortunately, last week, Governor Maura Healey put forth a proposal to cut state taxes by a billion dollars each year, including nearly $400 million in cuts to estate and short-term capital gains taxes that amount to a windfall to the richest 1%, would directly undermine the goals of the Fair Share Amendment while placing the state at risk for catastrophic budget cuts in future years.
Tackling the real challenges to the Commonwealth’s economic competitiveness – from working families’ struggles to afford housing and child care, to our economy’s need for an educated workforce and safe and reliable transportation infrastructure – will require making significant investments over the coming years. To make those investments possible, we need to protect both the new revenue from the Fair Share Amendment, and overall state revenue in general.
The ball is now in the Legislature’s court, as the House and the Senate will be working on their respective budgets in the coming weeks.