Gov. Paul Cellucci made his latest pitch
for an income tax rollback before the Taxation Committee this week and, as expected, got a
cool reception.
His plan, which would make good on a
longstanding legislative commitment to roll back the state income tax rate to 5 percent,
is slated to go before the voters on the Nov. 7 ballot. Last year the Legislature voted to
cut the tax from 5.95 percent to 5.85 percent in January of this year and to 5.75 percent
in January of 2001.
Lawmakers' resistance to income tax
relief has become increasingly difficult to justify. The treasury is overflowing and the
Legislature has tucked away billions of dollars in various contingency funds.
The excuses are becoming increasingly
transparent. Last year they argued against a tax cut because of health and education
priorities, this year it's the Big Dig.
Rolling back the income tax would spur
economic activity and directly benefit working families.
The House fiscal 2001 budget proposal
underscores the hazards of maintaining an overheated revenue stream. Lawmakers seem
determined to spend every cent that comes in. Every special interest group -- this week
it's the Massachusetts Hospital Association -- is looking for a bigger piece of the pie.
It was similar wallowing in unsustainable
spending in the 1980s that led to the ill-fated Massachusetts Miracle. The Legislature was
forced to impose a "temporary" income tax increase to help the state recover
from that fiscal crisis.
The crisis is long past. If the
Legislature fails to roll back the rate, voters will do it for them this fall.