BOSTON- Senator Michael O. Moore (D-Millbury), member of the Senate Committee on Ways and Means, announced today that the state’s income tax will be reduced from 5.25% to 5.2% on January 1, 2014, due to revenues being above projections.
“Although it is all of our responsibility to help fund state programs, when revenues far exceed expectations, it is only right to return this money to the taxpayers,” stated Senator Moore. “This reduction in the Commonwealth’s income tax is a clear sign of our economy improving. Although there is still work to be done, I am eager to continue our recovery efforts.”
The tax cut is being triggered due to a 2002 state law that automatically cuts the income tax rate when revenues exceed benchmarks. As of November, Massachusetts had collected $273 million more in tax revenue than initially projected.