Higher Maine Taxes Coming Our Way

"As of Jan. 1, 2017, households earning $200,000 or more are subject to a 3% surcharge to raise funds for education. It comes top of the 7.15% regular income tax rate for everyone, putting the top marginal rate at 10.15%. That's a new high for Maine and No. 2 in the nation after California, which applies its top 13.3% rate only after $1 million."

The above is an excerpt from an excellent article by Mainebiz which was recommended reading by local  Maine GOP Rep, Stephanie Hawk.

Now you may breathe a sigh of relief if you're not in that income bracket, thinking the tax won't affect you. So why be concerned?

But it may affect your quality of life down the road as more professionals leave the state that are counted on ie doctors, lawyers, dentists, accountants, etc. or small business owners and/or tourist industry related entities decide to get out of Dodge in order to escape the higher taxes. They might think of moving to Florida or next door to our neighbor, New Hampshire. Neither state has an income tax and NH doesn't have a sales tax either.

Btw, the above was approved via Question 2 by a slight majority of Mainer's. Now we're going to pay the price.

My bet is the people who voted Yes didn't even think of the possible repercussions down the road. They probably thought that they were just helping Maine children get a better education.

We'll see if that happens.

To learn more and read the entire article, click the link below.

http://www.mainebiz.biz/article/20170320/CURRENTEDITION/303169991/tax-headache-or-good-deed?-new-3%89-surcharge-raises-fears-of-exodus-out-of-state#.WNFX4h1n2cs.facebook