MA 2022 Question 1 (sale, homes, income)

[bostongymjunkie]

Let's hear some opinions and share knowledge on these questions. Maybe some minds will be changed.





A "yes" vote supports amending the state constitution to create an additional tax of 4% for income over $1 million, in addition to the existing 5% flat-rate income tax, and dedicate revenue to education and transportation purposes.


A "no" vote opposes amending the state constitution to create an additional tax of 4% for income over $1 million, thereby maintaining the existing flat-rate income tax of 5% with revenue dedicated to the state's general fund.


(Source: Ballotpedia https://ballotpedia.org/Massachusetts_Question_1,_Tax_on_Income_Above_$1_M illion_for_Education_and_Transportation_Amendment_ (2022)

[BostonBornMassMade]

If you make 5M a year this is an additional 160,000 in tax.

If you make 20M this is an additional 760,000 in tax.

Seems like a no-brainer to me. Vote YES and leet that money go to Subway maintenance and Commuter Rail Electrification.

[simplexsimon]

I plan on voting yes. I have yet to see a compelling reason to vote no.

[Lampert]

Originally Posted by simplexsimon

I have yet to see a compelling reason to vote no.

The only reason I can see to vote no would be that millionaires can easily move to NH or RI and so you loose the revenue completely.

[bostongymjunkie]

I'm still pondering and researching the issue. This state doesn't have a great recent history of using funds appropriately and there are potential negative economic impacts.

[masssachoicetts]

yes. easy answer.

[massnative71]

Originally Posted by bostongymjunkie

I'm still pondering and researching the issue. This state doesn't have a great recent history of using funds appropriately and there are potential negative economic impacts.

This is why I am voting no. This state already takes in plenty of money, it just spends it very poorly. Other states have figured out how to maintain their roads with much less, take a lesson from them instead of feeding an old drunk's habits.

[lrfox]

I initially thought this was an easy "yes" vote. However, with a little more research, it doesn't seem that simple. There was a decent article in the Globe about "one-time" millionaires who could be disproportionately impacted by this. For example, someone earning "only" $101,000 annually could sill hit that threshold if they sell their small business, their home, etc.

Obviously we're not talking about poor people here, but there are a lot of normal (aka not "rich") people who could hit that threshold for various reasons and have to pay tens of thousands of dollars extra. I think of how it could effect people trying to retire (selling off a small business), or empty nesters trying to downsize (selling the family home) and it gives me a bit of pause.

[simplexsimon]

Yeah they can’t even spend the money they have…

https://www.nbcboston.com/news/local...get-2/2835432/

[simplexsimon]

Originally Posted by lrfox

I initially thought this was an easy "yes" vote. However, with a little more research, it doesn't seem that simple. There was a decent article in the Globe about "one-time" millionaires who could be disproportionately impacted by this. For example, someone earning "only" $101,000 annually could sill hit that threshold if they sell their small business, their home, etc.

Obviously we're not talking about poor people here, but there are a lot of normal (aka not "rich") people who could hit that threshold for various reasons and have to pay tens of thousands of dollars extra. I think of how it could effect people trying to retire (selling off a small business), or empty nesters trying to downsize (selling the family home) and it gives me a bit of pause.

The additional 4% is only on amounts above $1 million and I doubt that amount will derail someone’s retirement.

For those selling homes there’s a $250k/$500k exemption on capital gains, so we’re talking about $1.5m+ in sale price for a married couple before a dollar is taxed at the higher rate and that’s assuming the home was bought for nothing and no improvements were made.