Urge Your Legislators to Support MTA-Backed Progressive Revenue Bill!
The MTA is supporting progressive revenue legislation that would raise an estimated $1.8 billion in new revenue by increasing the tax rate on unearned income. The bill, An Act to strengthen the foundation of the Commonwealth, was filed by Representative Mike Connolly (D-Cambridge) and Senator Jo Comerford (D-Northampton).
Unearned income, which does not include income from earned sources such as wages and salaries, retirement investments or pensions, flows overwhelmingly to high-income households, and most types are currently taxed at the same 5 percent rate as earned income. This contributes to an upside-down tax system that sees high-income households paying a substantially smaller share of their income toward state and local taxes than low- and middle-income households. Wealthy households should contribute more to support investments in the public services on which everyone in the Commonwealth depends.
This legislation would address this issue by raising the tax rate on long-term capital gains, as well as on interest and dividends, to 9 percent while creating exemptions to protect seniors, the disabled, and low- and middle-income individuals and families. Under this bill, nearly 90 percent of the estimated new revenue would come from the top 5 percent of taxpayers. This legislation would result in more resources to support crucial investments in public education and also lead to the transfer of additional dollars into the Commonwealth’s Stabilization Fund to support state funding during emergencies. To learn more about this legislation, please click here.
Please email your legislators right away and urge them to support and co-sponsor the MTA-backed progressive revenue bill! Please also consider calling your legislators to follow up on your email. You can find your legislators’ phone numbers by clicking here.