Tuesday, April 6, 2010

Massachusetts’ corporate tax burden far too high

The Greater Boston Chamber of Commerce released a startling report that further proves the state of Massachusetts is simply not business-friendly. According to the latest study, Massachusetts’ corporate tax burden is the eight highest in the nation. All other states in New England rank lower than Massachusetts except for New Hampshire, which ranks third. The fact that Massachusetts borders several states that are seen as more attractive to potential business is particularly frustrating.

According to the report, “in FY 2009, Massachusetts posted the 8th highest corporate tax burden in the country, measured by corporate income tax collections as a percentage of gross state product. This burden is 39% higher than the national average – which means that the average company looking to hire, expand, or locate will find Massachusetts much less attractive than competitor states.”

The Chamber offers a number of reforms that if implemented would make Massachusetts significantly more competitive. In fact, the authors of the report say the tax reforms they suggest would create 35,000-40,000 new jobs.

The evidence is there – it is time to reform the way we do business in Massachusetts. Beacon Hill Democrats need to read this report and embrace the facts and help us implement serious reforms.

Click here to read the report.