No subscription needed for Obituaries and Public Notices      

TAXES: State Legislature Approves Millions in Tax Hikes

Statehouse, Boston, June 26, 2013 - The Massachusetts House 105-47, Senate 34-6, approved a conference committee version of a transportation package that proponents say will raise $500 million through tax hikes. Some opponents of the measure dispute the proponents' projections, and argue that the total in tax hikes will be dramatically more than $500 million.

Provisions include a 3-cent-per-gallon hike in the state's current 21-cent-per-gallon gas tax, which, beginning in 2015, would also be indexed to inflation. Other provisions include a $1 hike in the current $2.51-per-package cigarette tax, an increase in the tax on cigars and smokeless tobacco, a change in the way utilities are classified for tax purposes, and the reinstatement of tolls at exits 1 through 6 on the Massachusetts Turnpike in Western Massachusetts. The legislation also imposes a new 6.25 percent sales tax on computer system design services as well as services to modify prewritten software.

Supporters said the bill is a reasonable package that will provide $805 million in revenue by 2018 to begin to solve many of the structural and financial problems that plague the state's transportation system.

Opponents said the proposed tax hikes will hurt already overburdened taxpayers and businesses and they urged the Commonwealth to live within its means.

The vote margins in both branches are sufficient to override a possible veto by Gov. Deval Patrick.

In a statement released shortly after the vote, Patrick said, "While I appreciate the efforts the conferees have made, the conference report would not provide the reported $805 million in new revenue for transportation. Therefore, I cannot support this bill in its current form. I expect to return this bill with an amendment and look forward to working with the Legislature to enact it."

Groton Herald

Mailing Address
P.O. Box 610, Groton, Massachusetts 01450
 

Office
145 Main Street, Groton, Massachusetts 014510
[Prescott Community Center]
 

Telephone: 978-448-6061
 

Comment Here