Massachusetts 2023-2024 Regular Session

Massachusetts House Bill H2745

Introduced
2/16/23  

Caption

Increasing tax fairness

Impact

The proposed changes in HB 2745 would adjust Section 3 of Chapter 62 of the General Laws by permitting greater personal exemptions for qualifying individuals. For instance, a single taxpayer with a federal adjusted gross income under $50,000 could claim exemptions up to $10,000, while a married couple below $100,000 could claim exemptions up to $20,000. Notably, the bill proposes even higher exemptions for senior citizens and individuals with disabilities, reflecting a commitment to providing needed support for these demographics.

Summary

House Bill 2745, titled 'An Act Increasing Tax Fairness,' is a legislative initiative aimed at amending Massachusetts tax laws to provide more equitable personal exemptions based on income levels. The bill redefines the exemptions for individuals and couples, with specific provisions that increase exemptions for low-income taxpayers and those aged 65 and older or disabled. This adjustment is intended to alleviate the tax burden on vulnerable populations while also promoting a more progressive tax system within the state.

Contention

Although the bill is largely positioned as a way to promote fairness in tax treatment, it is not without contention. Supporters argue that it provides necessary relief to older individuals and those with disabilities while combating income inequality. Conversely, critics may express concerns regarding the potential impact on state revenue and the complexities involved in implementing such tax reforms. Balancing the benefits for lower-income and vulnerable populations against the potential fiscal challenges poses a significant debate within the legislature.

Companion Bills

MA H4721

Replaced by Study Order

Previously Filed As

MA SB00485

An Act Concerning Tax Fairness.

MA HB06628

An Act Concerning Tax Fairness.

MA HB2284

Providing an income tax rate of 5.25% for individuals, exempting all social security benefits from Kansas income tax, increasing the standard deduction by a cost-of-living adjustment, increasing the Kansas personal exemption, decreasing the privilege tax normal tax, establishing a 0% state rate for sales and use taxes for food and food ingredients on April 1, 2024, and increasing the extent of property tax exemption for residential property from the statewide school levy.

MA SB377

Substitute for SB 377 by Committee on Assessment and Taxation - Providing an income tax rate of 5.25% for individuals, increasing the income limit for the income tax subtraction modification for social security income, increasing the standard deduction by a cost-of-living adjustment, increasing the Kansas personal exemption, decreasing the privilege tax normal tax, establishing a 0% state rate for sales and use taxes for food and food ingredients on April 1, 2024, and increasing the extent of property tax exemption for residential property from the statewide school levy.

MA SB169

House Substitute for SB 169 by Committee on Taxation - providing an income tax rate of 5.15% for individuals and decreasing the normal tax for corporations, increasing the income limit for the income tax subtraction modification for social security income, increasing the standard deduction by a cost-of-living adjustment, discontinuing the food sales tax credit, decreasing the privilege tax normal tax, establishing a 0% state rate for sales and use taxes for food and food ingredients on January 1, 2024, and increasing the extent of property tax exemption for residential property from the statewide school levy.

MA HB2837

Simplifying income tax rates for individuals, increasing the the Kansas personal exemption, increasing the income limit for an income tax subtraction modification for social security income, increasing the extent of property tax exemption for residential property from the statewide school levy, decreasing the privilege tax normal tax rate and establishing a 0% state rate for sales and use taxes for sales of food and food ingredients on July 1, 2024.

MA HB2457

Providing an income tax rate of 4.95% for individuals and decreasing the normal tax for corporations, increasing the income limit for the income tax subtraction modification for social security income and providing that all social security income qualifies for the subtraction modification commencing in tax year 2026, increasing the Kansas standard deduction for individuals and further increasing the standard deduction by a cost-of-living adjustment, discontinuing the food sales tax credit, decreasing the privilege tax surtax, establishing a 0% state rate for sales and use taxes for food and food ingredients on July 1, 2023, and increasing the extent of property tax exemption for residential property from the statewide school levy.

MA HB07061

An Act Concerning The State Budget For The Biennium Ending June 30, 2017, And Making Appropriations Therefor, And Other Provisions Related To Revenue, Deficiency Appropriations And Tax Fairness And Economic Development.

MA HB06779

An Act Increasing The Exemption From The Income Tax For Military Retirement Pay.

MA SB539

Simplifying income tax rates for individuals, increasing the standard deduction and the Kansas personal exemption, eliminating the income limit for the income tax subtraction modification exempting social security benefits, establishing a child tax credit, increasing the extent of property tax exemption for residential property from the statewide school levy, decreasing the privilege tax normal tax rate and establishing a 0% state rate for sales and use taxes for sales of food and food ingredients on July 1, 2024.

Similar Bills

No similar bills found.