Massachusetts ‘Millionaire’s Tax’ Headed for 2022 Ballot
In Massachusetts, the state legislature has voted to advance a public measure that would require the state’s millionaires to pay a larger share in income taxes.
The ‘Fair Share Amendment’ will go to a public vote and appear on the 2022 state ballot. If residents vote in favor of the initiative, a 4% surplus tax will be imposed on household incomes exceeding $1 million beginning in 2023.
The amendment would alter the state’s constitution and replace the long-held 5% flat income tax. If approved by voters, the first $1 million of household income would still be taxed at the 5% rate. All household income in excess of $1 million would be taxed at an effective rate of 9%.
If you’re a Massachusetts resident and have questions about how these tax changes could impact your wealth planning, please reach out to a member of MFA’s Individual & Family Tax Team.
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