The income tax rate in Massachusetts will drop to 5% on January 1. It's a change that's been 20 years in the making.
In the year 2000, the Massachusetts personal income tax rate was close to 6%. Voters passed a ballot initiative to reduce it to 5% over three years.
But the legislature said: not so fast. The law it passed provided the rate could drop by .05% each year if revenue targets were met.
After years of incremental declines, the rate will drop on New Year's Day to 5%.
Paul Craney is with the Massachusetts Fiscal Alliance, which advocates for lower taxes and less government spending.