LD849 - Taxation

(2012)

An Act to Provide Tax Relief for Maine’s Citizens by Reducing Income Taxes

Sponsored by Sponsored by: Sen. David Trahan (R – Waldoboro)

What is the bill?

LD 849 has been referred to as another TABOR-like proposal - something Maine voters have rejected at the ballot three times in recent years. LD 849 ratchets down state revenues by implementing an auto-pilot system that reduces the top income tax rate to 4% over time, thus cutting the state’s income tax revenues in half over time. This would mean a huge loss in funding to our schools, bridges, roads, and towns. These tax cuts are essentially unfunded, leaving future Legislatures to figure out how to pay for them. Many of the costs will have to be shifted to be paid for and will result in higher property taxes. The proposal overwhelmingly benefits the wealthiest 1% of Mainers. After initially failing in the House, an amended version of this bill was passed and signed by the Governor.

What happened?

Bill passed in amended form and signed by the Governor

Votes