c Express Concerns Over Insufficient Tax Relief for Businesses in $600 Million Senate Tax Bill
c Express Concerns Over Insufficient Tax Relief for Businesses in $600 Million Senate Tax Bill
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Business leaders raise concerns over lack of substantial tax relief for businesses in $600 million Senate tax bill
During a recent address at the Greater Boston Chamber of Commerce, Senate President Karen Spilka outlined various tax cuts her leadership supports, focusing primarily on individuals and working families. However, following her speech, Chamber CEO Jim Rooney voiced the business community's apprehension regarding the limited provisions for businesses. The Senate was set to debate and pass the tax relief package the following day, with the business community favoring an alternative backed by the House of Representatives. The House plan includes a reduction in the state's short-term capital gains tax and a shift to a "single sales factor" approach for corporate taxes.
The Senate's proposed tax relief package, amounting to approximately $600 million annually, represents a more cautious approach compared to the House's $1.1 billion plan. This divergence stems partly from the Senate's response to an unexpected drop in tax collections. Rooney specifically questioned Spilka about the capital gains tax cut and urged for more direct tax relief tailored to the business community. Spilka highlighted discussions within the Senate Democratic caucus, emphasizing their focus on individuals and families currently facing financial challenges.
Spilka acknowledged concerns about the state's economic competitiveness and mentioned proposed funding for community colleges, workforce training programs, and housing. She also highlighted the Senate's support for establishing a commission on mobility pricing to explore options for increasing road revenue and promoting public transit usage. While recognizing the business community's priorities, Spilka made it clear that the Senate was not willing to allocate as much funding for tax relief as the House.
With the Senate's anticipated approval of the tax relief plan, the final outcome will be determined in a conference committee featuring negotiators from both chambers.
