As a Commonwealth, we must respond to these intertwined health and economic crises in ways that acknowledge and correct for these deep-seated and longstanding inequities. Raising additional revenue through rate increases on unearned income would help the Commonwealth address the immediate harms of the pandemic, as well as make the investments that will speed us …
Two weeks ago, the Executive Office of Administration and Finance (ANF) provided updated revenue projections for the current fiscal year (FY21). ANF now estimates an FY21 tax revenue shortfall of $3.6 billion. This new estimate resets the baseline from which the Governor and Legislature must build their respective FY21 budget proposals. Drawing on a variety …
By returning the state corporate income tax to pre-2010 rates, the Commonwealth could raise $375 million to $500 million a year to help fund a racially equitable, economically just, and robust recovery.
Cutting budgets and failing to invest in communities hardest hit by the pandemic perpetuates the deep racial inequities built into the current system. Learn more about how the Commonwealth has solved the challenges of past economic recessions in our latest report.
What were the tax breaks provided to the wealthy and businesses in the CARES Act? What is the cost of these tax breaks? Learn how these tax breaks could impact the Commonwealth's recovery from COVID-19.
What is the Municipal Liquidity Facility? How does it work? How does it help Massachusetts? Learn more about how the Federal Reserve’s new loan program for states affects the Commonwealth.
It’s a sudden economic freefall like no other. By some estimates, Massachusetts will have 473,000 COVID-induced job layoffs and furloughs by summer. Most people with jobs won’t make or spend as much in the months ahead.
What is the Rainy Day Fund? The Stabilization Fund — often referred to as the “Rainy Day Fund”– is a cushion for times when state tax collections fall abruptly and/or state expenditures rise sharply. It is like a savings account for the state to turn to when there is not enough revenue flowing into the …
Interested in learning more about global intangible low-taxed income (GILTI)? Check out this resource to find out how corporate tax avoidance affects Massachusetts, and read the full Taxing The GILTI report for more information.
In a costly decision, the Massachusetts Legislature voted in 2018 to allow businesses to exclude 95 percent of GILTI from Massachusetts taxation. This choice will cost the Commonwealth as much as $450 million in lost revenue in the current tax year (2020). This is revenue that otherwise would come exclusively from profitable, multinational corporations doing business in Massachusetts – and in particular, from ones that are choosing to game the tax code.