Post Content

The State Department of Revenue (DOR) recently certified that there is insufficient tax revenue growth under the terms of a  2002 state law that would trigger a 0.05 percentage point cut in the Part B indivdual income tax rate beginning in 2013. As part of the legal process determined by the Legislature, an automatic tax cut would go into effect if the following thresholds in revenue growth were exceeded:

  • Inflation-adjusted baseline revenue growth for the previous fiscal year surpassed 2.5% and,
  • There was positive inflation-adjusted baseline revenue growth in each of the consecutive three-month periods starting in August and ending in November in the current calendar year compared to the same consecutive three-month periods in the previous calendar year.

DOR certified on September 6th that FY2012 inflation-adjusted baseline revenue increased 2.77% over the previous fiscal year. The agency also certified that revenue growth was 4.12% for the first growth period and 1.88% for the second growth period. However, revenue growth was negative (-1.29%) during the third period so the 5.25% Part B individual income tax rate will remain the same for 2013.

 

Written By:


Ann Dufresne is Communications Director at the Department of Revenue. She joined DOR in July 2012 after ten years in state goverment. She previously served as Communications Director for MassDOT Registry of Motor Vehicles and for Senate Presidents Therese Murray and Robert Travaglini.

Recent Posts

DOR’s Participation in the Family Court Workshops posted on Apr 22

Once a month, the Department of Revenue’s Child Support Enforcement (CSE) lawyers and staff volunteer to be a part of the Family Court Workshops for Mothers and Fathers at the Suffolk County Probate & Family Court in Boston. The workshops, a joint venture between community   …Continue Reading DOR’s Participation in the Family Court Workshops

DOR Ruling Favorable in First Circuit Judgment posted on Mar 17

The United States Court of Appeals for the First Circuit issued judgments in the Department of Revenue’s (DOR) favor last month, finding that taxpayers in Bankruptcy proceedings cannot discharge late filed tax returns. The court consolidated two similar cases brought before them involving a total   …Continue Reading DOR Ruling Favorable in First Circuit Judgment

Five Reasons to E-File with DOR’s WebFile for Income posted on Feb 24

With Tax season well under way; DOR would like to help you make the decision to E-File with WebFile for Income this year. We know, “I’m not computer savvy” or “What about the safety of my information” has been said many times before, but we’d   …Continue Reading Five Reasons to E-File with DOR’s WebFile for Income