Advocates claim a proposed 4 percent surtax on high earners will raise nearly $2 billion per year for education and transportation, but similar tax hikes in other states resulted in highly discretionary rather than targeted spending. That same result or worse is possible in Massachusetts because during the 2019 constitutional convention state legislators rejected — not just one, but two — proposed amendments requiring that the new revenues be directed to these purposes. After a 2012 tax hike in California aimed to increase education investments, the state legislature dedicated little more than the minimum required by law to education and redirected the majority of the funds to general government operations. The result was a soaring state payroll.
https://pioneerinstitute.org/wp-content/uploads/Yellow-and-Green-2-Circle-Venn-Diagram-1.png 512 1024 Greg Sullivan https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png Greg Sullivan2021-03-10 05:39:542021-03-10 05:39:54Lessons for Massachusetts from California’s “blank check” tax on high earners