A Crack in the Granite? New Hampshire Moving Ahead on Progressive Tax Changes

| | Bookmark and Share

New Hampshire has long been an outlier in state tax policy. It shares the dubious distinction of lacking both an income and a sales tax with only Alaska. Unsurprisingly, it now faces a serious budget deficit. In response, the state's House Ways & Means Committee has chosen a course of action that deviates from the well-worn public policy path in the Granite State, approving a pair of bills that would generate $95 million in revenue over the next two years and do so in a very progressive manner. Specifically, legislation endorsed by the Committee would impose a 5 percent tax on income from capital gains and would revive the state's estate tax, albeit with a larger exemption and lower rate than existed prior to the tax's repeal in 2002. Needless to say, a comprehensive, broad-based income tax should remain the goal in New Hampshire, but these changes would certainly be steps in the right direction.

Thank you for visiting Tax Justice Blog. CTJ and ITEP staff will soon retire this domain. But ITEP staff are still blogging! You can find the same level of insight and analysis and select Tax Justice Blog archives at our new blog, http://www.justtaxesblog.org/

Sign Up for Email Digest

CTJ Social Media

ITEP Social Media