Senate’s pass-through proposal would cost Maine $57 million a year in state revenue

December 1, 2017 by

Sarah Austin

The Senate tax bill’s proposed 23% pass-through deduction would cost Maine $57 million a year in state revenue. It does so by reducing state income taxes primarily for wealthier households – 62% of the tax cuts associated with the pass-through proposal would benefit the top 5% of Maine households, or those making more than $181,000. 

The reason this proposal reduces state revenue is simple. Because much of Maine’s … Read the rest

Senate Health Care Band-Aids Won’t Fix Damage in Tax Bill 

November 29, 2017 by

James Myall

US Senate Republicans have offered only temporary, Band-Aid fixes to try to reassure holdouts on their tax bill like Maine’s Senator Susan Collins. These proposals will not fully heal the wound inflicted on the health care system by repealing the individual mandate, a critical piece of the Affordable Care Act. Despite this, Senate Republicans are pushing ahead with their tax overhaul which is expected to explode the deficit, … Read the rest

Partial state and local tax deduction does nothing for vast majority of Maine families under Republican Tax Plan

November 29, 2017 by

Sarah Austin

The two versions of Republican tax legislation making their way through Congress are similar in that they are huge giveaways to the top 1% and profitable corporations, but differ regarding their treatment of income households use to pay state and local taxes. The Senate version completely repeals the state and local tax deduction, while the House version maintains that only property taxes up to $10,000 can be deducted … Read the rest

New Analysis: Senate Child Tax Credit Proposal Stacks the Deck Against Rural Working Families

November 29, 2017 by

James Myall

New analysis by MECEP shows that the proposal by US Senate Republicans to increase the size of the Child Tax Credit (CTC) will do little for the majority of children in Maine’s most rural and poorest counties while delivering significant benefits to wealthy families who live primarily in more urban and suburban areas. This analysis builds on last week’s analysis from the Center on Budget and Policy Priorities … Read the rest

Senate Tax Bill Individual Tax Changes Hurt Maine Seniors

November 28, 2017 by

Sarah Austin

This week, the Senate is expected to vote on a bill that increases taxes on Mainers by 2027, increases health premiums for older Mainers by over $3,000 in rural areas, and triggers devastating cuts to Medicaid and Medicare as early as next year. This same bill will endanger fundamental health and security programs that seniors rely on and will also require Maine seniors to pay more in federal … Read the rest

A simple 1-2 punch to give working Mainers a raise

September 5, 2014 by

Increasing Maine’s earned income tax credit and raising the state’s minimum wage would go a long way toward making work pay for Maine’s families today and lay the foundation for a stronger economy tomorrow, according to new report from the Center on Budget and Policy Priorities.

With wages for the typical Maine worker still well below pre-recession levels and no signs of growth in sight, lawmakers should act immediately when … Read the rest

LePage’s Erroneous Bonds Policy Seriously Threatens Maine Hospital Finances

June 18, 2014 by

Last week, the (Lewiston) Sun Journal reported that the LePage Administration’s anti-bonding policies are forcing MaineGeneral Medical Center to pay $42 million more in interest on loans than is necessary on the construction of their new hospital in Augusta. That’s $1.4 million in avoidable interest payments annually for 30 years.

MHHEFAThe legislature created the Maine Health and Higher Education Facilities Authority (MHHEFA) to allow entities like hospitals, nursing homes, public … Read the rest

State Income Tax Revenue Falls as Bill for 2011 Income Tax Cuts Comes Due

June 11, 2014 by

Four years after Maine Revenue Services (MRS) and the Legislature’s nonpartisan fiscal office put a $166 million price tag on Governor LePage’s income tax cut, an enormous decline in FY 2014 state income tax revenue appears to be validating their estimates. State income tax revenue through the first 10 months of fiscal year 2014 is $109 million—or 8.9%— lower than it was last year, according to the State Controller’s latest … Read the rest

Everything comes with a cost: the perilous (and unnecessary) fate of the Portland Free Clinic

June 4, 2014 by

Despite the historic opportunity offered by the federal funds available to expand Medicaid to cover Maine’s uninsured, millions of dollars earmarked for our state have been lost – more than $143 million since January 1 -repudiated in a din of partisan politics.  The governor vetoed majority votes in favor of Medicaid expansion five times.  But decisions have consequences – and one of the consequences might be the future of the … Read the rest

What you should know about the Cutler property tax relief plan

April 15, 2014 by

Today, Eliot Cutler released a plan for providing property tax relief to Maine residents. The center piece is a dramatic increase in Maine’s homestead exemption program, elimination of revenue sharing as we know it, and a new approach to channeling revenue collected by the state to towns and cities.

The basic premise is that Mainers increasingly feel the bite of property tax increases and that our current three pronged approach … Read the rest

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