NEWS RELEASE
Media Contact for the Chamber:
Erin Murphy
, 617.557.7324
June 11, 2007
Chamber Releases Statement on Business Tax Commission Recommendation
STATEMENT OF THE GREATER
BOSTON
CHAMBER OF COMMERCE ON PROPOSED BUSINESS TAX COMMISSION RECOMMENDATIONS
“Recent news reports indicate that a state tax commission will be asked Tuesday to recommend significant changes to business taxes.
The largest change, referred to as 'check the box', would impose a 79% tax increase on thousands of
Massachusetts
employers (see below). Given our fragile jobs climate, a tax increase of any magnitude would be a mistake. This large tax increase would do significant harm to job creation.
In addition, we believe it would be a serious mistake for the commission to recommend changes so soon after it was convened. The commission has been given until December 31, 2007 to complete its work. The issues it faces are complex and important. Over the next six months, we can make progress on them. Over the last six weeks, we've just gotten started.
Recommending significant tax policy changes tomorrow would be a premature step that would damage our economy, and we urge the commission not to do so.”
* 'Check the box' would change the tax rate paid by thousands of
Massachusetts
business partnerships from the current rate of 5.3% to a rate of 9.5%, a 79% increase.