Evan Horowitz, executive director of the Center for State Policy Analysis at Tufts University, views the situation differently. He says put the money where it’s needed, and don’t stick to rigid formulas.
Horowitz also expects the policy’s implementation will lead to roughly half a billion dollars in lost income tax revenue “as taxpayers who leave the state or engage in tax avoidance will end up skirting both the millionaires tax and the state income tax.
Horowitz added, “What is more, our modeling suggests that even ignoring the impact of inflation we are likely to end this fiscal year with a revenue shortfall of roughly $1 billion. The decisive factor will be April collections.
Evan Horowitz, executive director of Tufts University’s Center for State Policy Analysis, and Doug Howgate, president of the Massachusetts Taxpayers Foundation, urged lawmakers to spend a specific amount of the surtax revenue annually.