Doughty Would Push To Restore 5 Percent Sales Tax

Image

Above, Chris Doughty and running mate Kate Campanale

Republican gubernatorial candidate Chris Doughty unveiled a tax reform plan Tuesday that calls for a major cut in the state sales and corporate tax rates and eliminating another tax that Doughty said leads to high prices at grocery stores.

Doughty called tax cuts a "cornerstone" of the platform he and lieutenant governor candidate Kate Campanale are running on. Their plan would slash the sales tax from 6.25 percent to 5 percent, the rate that was in place until the Legislature hiked it in 2009.

Doughty said dropping down to 5 percent would increase Massachusetts' competitiveness with neighboring states like New Hampshire.

The plan also calls for dropping the corporate tax rate from 8 percent to 7 percent and eliminating a 6.25 percent rolling stock tax.

Doughty contrasted the state's swelling revenues with the fact it's "one of the most expensive states" to live in.

"There's over 30 states in America have already put through significant tax relief in their states. As a result, our state has become less and less competitive as more states have been reducing their taxes. We have not cut a single tax in over two years, despite what the other states have done," he said in a news conference in front of the State House.

State officials say Massachusetts taxpayers are in store for nearly $3 billion in income tax relief under a 1986 tax cap law, and $1 billion more in targeted tax relief is on hold while Democrats try to get a handle on which portions of a $4 billion economic development bill they are comfortable moving forward on.

Gov. Charlie Baker earlier in his career favored reducing the sales tax to 5 percent, but the idea never got traction among the Democrats who hold super-majorities in the House and Senate. - Sam Doran/SHNS

I'm interested
I disagree with this
This is unverified
Spam
Offensive