What Massachusetts voters need to know about Question 5 on the ballot
By Tony Fay
Question 5 would limit the amount of revenue the state can collect and provide a refund to taxpayers if collections exceed that limit. If this sounds familiar to you, it’s because the state already has Chapter 62-F, which does just that. However, it’s only been triggered twice, in 1987 and again in 2022.
A “yes” vote would add into that calculation all the revenue from the “fair share tax” on incomes exceeding $1 million.
A “no” vote would make no changes to the law related to tax collection.
Supporters of a “yes” vote say it modernizes the law to create stronger fiscal guardrails and that it guards against government overspending and future tax increases. They say taxpayers deserve to get excess revenue back rather than having it go back into the state budget.
Opponents say question 5 could lead to budget cuts for cities and towns that rely on local aid from the state, leading to possible job cuts or property tax hikes. They also say it would reduce the state’s rainy-day fund and could even threaten the state bond rating, which would mean higher borrowing costs for the state.
Question 5 is seeing support from conservative groups, including the Massachusetts republican party and the Massachusetts Fiscal Alliance.
Opposing question 5 are more liberal groups, including multiple labor unions and the Massachusetts Budget and Policy Center.
