Mass. Income Tax Being Reduced By 0.05 Percent
BOSTON (AP) — The new year will bring a small tax cut for Massachusetts residents.
State Revenue Commissioner Amy Pitter has certified that the state’s income tax will be lowered from the current 5.25 percent to 5.2 percent on Jan. 1.
In a letter on Wednesday to Secretary of Administration and Finance Glen Shor, Pitter said tax collections have exceeded benchmarks over several months, and as a result have met the threshold required under state law to trigger an automatic .05 percent reduction in the income tax.
Officials say the tax cut will result in an estimated loss of $65 million in the fiscal year that runs through July 1.
The last time that happened was in 2011, prompting a cut in the tax from 5.3 percent to 5.25 percent.
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