Massachusetts Sales Tax Relief Act

Last updated
Question 3
Massachusetts Sales Tax Relief Act
Results
Choice
Votes %
Check-71-128-204-brightblue.svg Yes966,97343.20%
Light brown x.svg No1,271,53256.80%
Valid votes2,238,505100.00%
Invalid or blank votes00.00%
Total votes2,238,505100.00%

MA Question 3 2010 Counties.svg
MA Question 3 2010 Municipalities.svg
MA Question 3 2010.svg

Massachusetts Question 3, filed under the name, the 3 percent Sales Tax Relief Act, appears on the November 2, 2010 ballot in the state of Massachusetts as an initiative. The measure, if enacted by voters, would reduce the state sales tax rate from 6.25 to 3 percent. The measure is being sponsored by the Alliance to Roll Back Taxes headed by Carla Howell. The measure would be enacted into a law 30 days after the election if approved by voters. [1] [2] [3] [4] [5]

Contents

Text of measure

Ballot title

The ballot title of the measure reads:

Do you approve of a law summarized below, on which no vote was taken by the Senate or the House of Representatives before May 4, 2010? [6]

Summary

The summary of the measure reads:

This proposed law would reduce the state sales and use tax rates (which were 6.25 percent as of September 2009) to 3 percent as of Jan. 1, 2011. It would make the same reduction in the rate used to determine the amount to be deposited with the state Commissioner of Revenue by non-resident building contractors as security for the payment of sales and use tax on tangible personal property used in carrying out their contracts.

The proposed law provides that if the 3 percent rates would not produce enough revenues to satisfy any lawful pledge of sales and use tax revenues in connection with any bond, note, or other contractual obligation, then the rates would instead be reduced to the lowest level allowed by law.

The proposed law would not affect the collection of moneys due the Commonwealth for sales, storage, use or other consumption of tangible personal property or services occurring before Jan. 1, 2011.

The proposed law states that if any of its parts were declared invalid, the other parts would stay in effect.

A YES VOTE would reduce the state sales and use tax rates to 3 percent.

A NO VOTE would make no change in the state sales and use tax rates. [6]

Fiscal impact

Proponents of the measure say rolling back the sales tax to 3% will stimulate $132 million in private sector investment; put an average of $688 back in the pockets of 3,400,000 taxpayers and create 33,000 new, private sector jobs. Political leaders in the state have claimed that there is no current backup plan if the measure is approved by voters. [2]

Support

Supporters

Arguments

Opposition

Opponents

Arguments

Arguments that have been made against the measure include:

Finance

State reports showing key campaign financers: [11]

ContributorAmount
National Education Association$1,325,000.00
Massachusetts Teachers Association$1,062,000.00
Service Employees International Union$888,000.00
American Federation of Teachers - Massachusetts$704,000.00
American Federation of State, County and Municipal Employees$200,000.00
Boston Teachers Union$150,000.00
Mass Nurses Association$104,000.00

Media endorsements

Support

Opposition

Path to the ballot

This is one of the fastest that tax drops Massachusetts has ever had from before 1900 the tax percentile has been 3 percent then over the course of 100 years it has raised to 6 percent then dropped back down. Activists stated during the week of November 19, 2009 that they had collected enough signatures to place the measure on the 2010 ballot. Carla Howell, chairwoman of the committee organizing the effort, Alliance to Roll Back Taxes, declined to provide the number of signatures collected, but did state: "We do feel confident we've submitted more than the requirement." The initiative was reviewed by the Massachusetts Legislature. Since the Massachusetts Legislature did not approve of the initiative by the May 4, 2010 deadline, petition organizers must have obtained signatures from about 1/2 of 1% of voters who voted in the last governor election and submit them before or on July 7, 2010. According to the Massachusetts Secretary of State's office, that number amounted to 11,099 signatures. [14]

On June 23, 2010, initiative supporters turned in approximately 19,000 signatures, giving them a good chance of making the ballot in November. Carla Howell, the leader of the initiative campaign, stated that the measure will be placed on the ballot since that number of signatures was well over the 11,099 required. [15]

On July 13, 2010, the Secretary of the Commonwealth affirmed that the sales tax roll back to 3% measure will be on the ballot as Question 3.

Related Research Articles

Carla Howell is an American politician, small government advocate and activist. She was the Libertarian Party of Massachusetts candidate for Massachusetts State Auditor in 1998, U.S. Senate in 2000, and Governor in 2002. She then served in multiple leadership positions in the U.S. Libertarian Party. She has also organized tax-cut initiative ballot measures in Massachusetts and worked for the Libertarian National Committee.

The Oregon tax revolt is a political movement in Oregon which advocates for lower taxes. This movement is part of a larger anti-tax movement in the western United States which began with the enactment of Proposition 13 in California. The tax revolt, carried out in large part by a series of citizens' initiatives and referendums, has reshaped the debate about taxes and public services in Oregon.

Proposition 2½ is a Massachusetts statute that limits property tax assessments and, secondarily, automobile excise tax levies by Massachusetts municipalities. The name of the initiative refers to the 2.5% ceiling on total property taxes annually as well as the 2.5% limit on property tax increases. It was passed by ballot measure, specifically called an initiative petition within Massachusetts state law for any form of referendum voting, in 1980 and went into effect in 1982. The effort to enact the proposition was led by the anti-tax group Citizens for Limited Taxation. It is similar to other "tax revolt" measures passed around the same time in other parts of the United States. This particular proposition followed the movements of states such as California.

<span class="mw-page-title-main">1996 California Proposition 218</span> Adopted initiative constitutional amendment

Proposition 218 is an adopted initiative constitutional amendment which revolutionized local and regional government finance and taxation in California. Named the "Right to Vote on Taxes Act," it was sponsored by the Howard Jarvis Taxpayers Association as a constitutional follow-up to the landmark property tax reduction initiative constitutional amendment, Proposition 13, approved in June 1978. Proposition 218 was approved and adopted by California voters during the November 5, 1996, statewide general election.

The Sensible Marijuana Policy Initiative, also known as Massachusetts Ballot Question 2, was an initiated state statute that replaced prior criminal penalties with new civil penalties on adults possessing an ounce or less of marijuana. The initiative appeared on the November 4, 2008, ballot in Massachusetts.

The State Income Tax Repeal, also known as Massachusetts Question 1, was one of the 2008 ballot measures that appeared on the November 4, 2008 ballot in the U.S. state of Massachusetts. Voters were asked whether or not they approved of the proposed measure which, if it had passed, would have ended the 5.3% income tax in Massachusetts on wages, interest, dividends and capital gains. Ultimately, Massachusetts voters defeated Question 1 by a wide margin, with approximately 70% opposed versus 30% in favor.

The Greyhound Protection Act is a Massachusetts statute that gradually eliminated commercial dog racing by 2010. It was enacted as Question 3 on the November 4, 2008 ballot in Massachusetts.

<span class="mw-page-title-main">2008 Oregon Ballot Measure 59</span> Ballot measure in Oregon

Oregon Ballot Measure 59 was an initiated state statute ballot measure sponsored by Bill Sizemore that appeared on the November 4, 2008 general election ballot in Oregon, United States. If it had passed, Oregon would have join Alabama, Iowa, and Louisiana as the only states to allow federal income taxes to be fully deducted on state income tax returns.

The South Dakota Open and Clean Government Act, or Initiated Measure 10, was a South Dakota initiative that would ban taxpayer-funded lobbying, stop the exchange of campaign donations for state contracts, and open a website with information on state contracts. The Open and Clean Government Act was proposed as a citizen-initiated state statute and appeared on the November 4, 2008 ballot.

<span class="mw-page-title-main">2010 California Proposition 23</span> Ballot proposition concerned with environmental regulations

Proposition 23 was a California ballot proposition that was on the November 2, 2010 California statewide ballot. It was defeated by California voters during the statewide election by a 23% margin. If passed, it would have suspended AB 32, a law enacted in 2006, legally referred to its long name, the Global Warming Solutions Act of 2006. Sponsors of the initiative referred to their measure as the California Jobs Initiative while opponents called it the Dirty Energy Prop.

A Massachusetts general election was held on November 5, 2002 in the Commonwealth of Massachusetts.

A Massachusetts general election was held on November 3, 1998 in the Commonwealth of Massachusetts.

<span class="mw-page-title-main">2010 Massachusetts Question 1</span> Ballot measure in Massachusetts repealing a sales tax on alcohol

The No Sales Tax for Alcohol Question, also known as Question 1, was on the November 2, 2010 ballot in Massachusetts. The measure asked voters whether to repeal a sales tax on alcohol sales. The ballot measure for the 2010 ballot was added after the Massachusetts State Legislature increased the sales tax in the state from 5% to 6.25% and eliminated an exemption for alcohol sold in liquor stores.

<span class="mw-page-title-main">2010 Massachusetts Question 2</span> Ballot measure in Massachusetts

The Massachusetts Comprehensive Permits and Regional Planning Initiative, also known as Question 2, appeared on the November 2, 2010 ballot in the state of Massachusetts as an initiative. Question 2 was rejected by the Massachusetts voters by 1,254,759 "No" votes to 900,405 "Yes" votes. The measure had been sponsored by Better Not Bigger, a local advocacy group in the state.

Direct democracy refers to decision making or direct vote a proposal, law, or political issue by the electorate, rather than being voted on by representatives in a state or local legislature or council.

<span class="mw-page-title-main">2012 Massachusetts Question 3</span> Ballot measure in Massachusetts legalizing medical marijuana

The Massachusetts Medical Marijuana Initiative, appeared as the third question on the state's 2012 ballot as an indirect initiated state statute. The measure allows cannabis to be used for medical purposes in the state. The initiative—backed by the American Civil Liberties Union, the Massachusetts Patient Advocacy Alliance, and the Committee for Compassionate Medicine—was filed with proponents turning in the required signatures to the Massachusetts Attorney General's office by the August 3, 2011 deadline. Those signatures were needed for the required ten qualified voters who submitted the original petition to put forward the full text of the law they want enacted. The initiative passed with support from 63% of state voters.

<span class="mw-page-title-main">2014 Massachusetts Question 1</span>

The Massachusetts Automatic Gas Tax Increase Repeal Initiative, Question 1 was on the November 4, 2014 statewide ballot. Approved by voters, the measure repeals a 2013 law that would automatically adjust gas taxes according to inflation, allowing for automatic annual increases in the state's gas tax.

<span class="mw-page-title-main">1996 California Proposition 218 (Local Initiative Power)</span> Adopted initiative constitutional amendment

Proposition 218 is an adopted initiative constitutional amendment in the state of California that appeared on the November 5, 1996, statewide election ballot. Proposition 218 revolutionized local and regional government finance in California. Called the “Right to Vote on Taxes Act,” Proposition 218 was sponsored by the Howard Jarvis Taxpayers Association as a constitutional follow-up to the landmark Proposition 13 property tax revolt initiative constitutional amendment approved by California voters on June 6, 1978. Proposition 218 was drafted by constitutional attorneys Jonathan Coupal and Jack Cohen.

<span class="mw-page-title-main">Cannabis in Missouri</span> Legality, use and culture of cannabis in the U.S. state of Missouri

Cannabis in Missouri is legal for recreational use. A ballot initiative to legalize recreational use, Amendment 3, passed by a 53–47 margin on November 8, 2022. Possession for adults 21 and over became legal on December 8, 2022, with the first licensed sales occurring on February 3, 2023.

Three ballot measures were certified for the November 6, 2018, general election in the state of Massachusetts.

References

  1. Massachusetts Secretary of State, "Elections: Initiative Petition for Law"
  2. 1 2 Boston Herald, "Mass. leaders: No ‘Plan B’ if sales tax cut passes", May 23, 2010
  3. Wicked Local, "Massachusetts ballot questions announced by secretary of state", July 15, 2010
  4. PR Inside, "Fitch Rates Massachusetts' $358MM GO Bonds 'AA+'; Outlook Stable", August 17, 2010 Archived September 12, 2010, at the Wayback Machine
  5. Massachusetts Attorney General, http://www.mass.gov/?pageID=cagoterminal&L=3&L0=Home&L1=Government&L2=Initiatives+%26+Other+Ballot+Questions&sid=Cago&b=terminalcontent&f=government_initiativepetitiontracking&csid=Cago
  6. 1 2 Massachusetts Secretary of State
  7. Massachusetts Local News, "Republicans to pick top candidate for Massachusetts governor's race", April 16, 2010
  8. 1 2 3 The Sun Chronicle, "Sales tax cut a tough sell", February 22, 2010
  9. Fox News, "Should Massachusetts Reduce Its Sales Tax?", April 30, 2010 Archived May 3, 2010, at the Wayback Machine
  10. Wicked Local, "Newton mayor warns about danger of sales tax rollback", October 6, 2010
  11. efs.cpf.state.ma.us, " The Office of Campaign & Political Finance (OCPF)", Retrieved October 25, 2010 Archived October 31, 2010, at the Wayback Machine
  12. on Question 3- Boston Herald
  13. The Republican, "Editorial: It's not right time to roll back Massachusetts taxes", April 29, 2010
  14. The Republican, "Effort gains steam to trim sales tax", November 19, 2009
  15. Boston.com, "Backers say sales tax cut to be on ballot", June 24, 2010