A Sign of the Times - Leaving Massachsuetts
Massachusetts’ newest taxes go into effect on August 1, 2009, the one tax getting all the headlines in the 25% increase in the State Sales Tax, however, there are multiple taxes that will impact consumers across the Bay State, including a 5% tax on satellite TV provider subscriptions, and provision that allows the Commonwealth to by-pass the Stimulus on Corporate Tax Rates as well as personal income taxes on 9 month subsidies for Cobra Benefit Extensions (Health Care). In 2010, a tax on all polls and wires on public ways will take effect, all taxes on corporations, and communications will end up in the lap of the consumer, either by way of corporations existing stage North or South (New Hampshire or Rhode Island), and increases in telephone and cable invoices to consumers. (For details on all new taxes visit: The Massachustts Department of Revenue)
The State of New Hampshire is welcoming the Commonwealth Residents who are crossing the border to shop. Last week, New Hampshire Governor’s John Lynch, signed signed NH Senate Bill 5 into law. This bill prohibits New Hampshire Retailers from disclosing consumer information to any “foreign” entity (i.e. the Commonwealth). Last May, the Commonwealth lost a battle with the Granite State over collection of taxes on Massachusetts residents who purchased tires in the Granite State from a chain store that had locations in several states, - this new bill is the latest in the Battle of Blues State Democrat Governors who tax and spend themselves out of office. Lynch, recently passed a hefty 38% tax increase onto New Hampshire residents and corporations (The NH Department of Revenue, however, there is little incentive for those consumers in New Hampshire to take a trip south to the Bluest State as the taxes apply to cigarettes, hotels and restaurants, and corporations.
Of InterestMassahcustts Gubernatorial candidate, Christy Mihos, has set up a webcam on the New Hampshire side of the border on route 28, , the intent of which is to prove the sales tax increase will drive the current number (18,000) of Massachusetts daily border crossers through the roof on August 1st. Mihos, a businessman who understands the impact of tax increases on both business and consumer, has the cam fed through his website here. Mihos, an independent, populist Republican, will face Charles Baker, former Health Care CEO, in the Massachusetts Primary. Both candidates are polling above Democrat Govenor Duval Patrick in a recent Boston Globe poll
The bottom line for Massachusetts, regardless of any signs of Federal Stimulus Monies, is someone has to pay for the out-of-control, budget busting, Commonwealth Care (Massachusetts State Government Run Health Care), that leaves the declining number of working Massachusetts Residents and what’s left of the employers in the State. It is no mere coincidence that when Massachusetts increases corporate and personal taxes, there is a loss of businesses first, then residents – eroding the tax base. The solution: dismantle the government run health program, turn it over to the private sector and reduce the ridiculous number of pricey mandated health benefits changing the focus on mandates to preventive care and necessary treatment of life-threatening illnesses. This would result in a) immediate increased revenue for the Commonwealth, and a reduction of costs in private health insurance premiums – or a “tax cut” for the middle class – which would allow Govenor Duval Patrick to keep the “Yes, We Can” promise of lowering middle class taxes, before he is out of a job. Meanwhile, expect Massachusetts residents who live within driving range of any state (and what’s a 2 hour drive to save $500 or more on a big-ticket item?), to take advantage of shopping North and South of the Massachusetts border.
Video from NECN – Christy Mihos “Mass Backwards” Cam
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