Legislature passes repeal
The legislature met today in a special session and passed the repeal bill, so it really is done (see AP story).
Well, OK, in principle the governor could veto it but even I'm not so much of a skeptic that I think he'd veto a bill he was pushing for and already agreed to sign.
I want to give my personal thanks to everyone who contributed to this effort. Whether you called your legislators, wrote a letter-to-the-editor, or just forwarded an email to someone who might be interested, your efforts made this happen.
Associated Press:
Lawmakers pass bill repealing retroactive capital gains tax hike
December 5, 2005
BOSTON --House and Senate lawmakers approved a bill Monday designed to repeal a retroactive capital gains tax hike from 2002 and send out about $275 million in tax rebates over the next four years.
A spokesman for Gov. Mitt Romney said he's expected to sign the bill.
The legislation should bring relief to taxpayers who had begun receiving notices telling them to pay capital gains taxes from 2002.
The problem dates back to the state's most recent fiscal crisis, when lawmakers approved a capital gains hike to begin in May 2002.
The state's top court struck down the tax, saying it was unconstitutional to create a new tax midway through the year. The court said the tax must go into effect either at the start of 2002 or 2003, but not in between.
Under the legislation, anyone who did not pay capital gains taxes during the first four months of 2002 won't be required to pay those taxes retroactively -- and anyone who paid the capital gains taxes during the last eight months of 2002 will get a rebate.
Paying the rebates out over four years will mean a loss of revenue of between $56 and $69 million a year for the state.
Anyone owed $1,000 or less will get a one-time lump sum rebate
Well, OK, in principle the governor could veto it but even I'm not so much of a skeptic that I think he'd veto a bill he was pushing for and already agreed to sign.
I want to give my personal thanks to everyone who contributed to this effort. Whether you called your legislators, wrote a letter-to-the-editor, or just forwarded an email to someone who might be interested, your efforts made this happen.
Associated Press:
Lawmakers pass bill repealing retroactive capital gains tax hike
December 5, 2005
BOSTON --House and Senate lawmakers approved a bill Monday designed to repeal a retroactive capital gains tax hike from 2002 and send out about $275 million in tax rebates over the next four years.
A spokesman for Gov. Mitt Romney said he's expected to sign the bill.
The legislation should bring relief to taxpayers who had begun receiving notices telling them to pay capital gains taxes from 2002.
The problem dates back to the state's most recent fiscal crisis, when lawmakers approved a capital gains hike to begin in May 2002.
The state's top court struck down the tax, saying it was unconstitutional to create a new tax midway through the year. The court said the tax must go into effect either at the start of 2002 or 2003, but not in between.
Under the legislation, anyone who did not pay capital gains taxes during the first four months of 2002 won't be required to pay those taxes retroactively -- and anyone who paid the capital gains taxes during the last eight months of 2002 will get a rebate.
Paying the rebates out over four years will mean a loss of revenue of between $56 and $69 million a year for the state.
Anyone owed $1,000 or less will get a one-time lump sum rebate
posted by Irwin Jungreis at
10:09 PM
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