Thanks to #MikeTipping, Proposed Tax on #Maine’s #Millionaires Lives to Fight Another Day

By Libby Palanza, June 26, 2025

"A proposed tax hike on Maine’s millionaires designed to increase funding for public pre-K-12 education has been carried over into the next legislative session – which is a small victory for the ‘#TaxTheRich’ crowd as the measure was looking at total defeat earlier this month.

"When the Legislature adjourned sine die Wednesday evening, lawmakers had yet to finalize their positions on a number of bills and resolutions introduced over the past few months. In turn, all outstanding legislation was carried over to the next special or regular session of the 132nd Legislature.

"Among these bills was #LD1089, sponsored by Rep. Cheryl A. Golek (D-Harpswell), that sought to impose a new two percent 'surcharge' on income earned over $1 million in Maine.

"The two percent tax would be applied only to the portion of a Mainer’s income that is above the $1 million threshold, meaning that everything up to that point would not be subject to this additional fee.

"The revenue collected from this tax could only be used to fund public pre-kindergarten through grade 12 #education. As is the case will all similar initiatives, however, future legislatures may pass bills allowing for all or some of these funds to be repurposed.

"It is for this reason that Rep. Gary A. Drinkwater (R-Milford) sought to amend Maine’s constitution to protect the funds collected for Maine’s new Paid Family and Medical Leave (PFML) program from being used for anything else in the future.

"An amended version of his bill directing the Maine Department of Labor (MDOL) to find the best method for protecting PFML revenue from being re-appropriated down the line.

"A late March public hearing on LD 1089 drew a great deal of testimony from both supporters and opponents of the Harpswell Democrat’s proposal to impose an additional tax on Mainers earning over $1 million.

"While those representing business and free market interests testified in opposition to the bill, representatives of municipal, educational, and social justice interests expressed support for the measure.

"Those arguing in support of the bill focused both on the need for additional state funding for #PublicSchools, as well as on the perceived fairness that this surcharge would create within Maine’s tax code.

"Opponents of LD 1089 argued that tax increases would be harmful to the state’s economy, have an outsized impact on entrepreneurs and businesses, and not necessarily improve public education as hoped.

"Following this public hearing, members of the Taxation Committee voted along partisan lines in support of this bill, with all Republicans opposing it and all Democrats favoring it."

Read more:
https://www.themainewire.com/2025/06/thanks-to-mike-tipping-proposed-tax-on-maines-millionaires-lives-to-fight-another-day/

#MainePol #TaxTheRich #Oligarchy #Education #EducationCuts #Billionaires #Millionaires #Trillionaires #NoTaxHavens #PayYourFairShare!

#Mainers call on legislature to fund #education and more by raising taxes on #wealthy

by Channa Steinmetz, March 27, 2025

"As the #Trump Administration continues its efforts to fund huge #billionaire tax cuts by raising the cost of living and making it harder for Americans to access health care, housing, food assistance and education, Mainers, including some with very high incomes, are calling for the state’s wealthiest residents to pay what they truly owe our state.

"#LD1089, 'An Act to Permanently Fund 55 Percent of the State’s Share of Education by Establishing a Tax on Incomes of More than $1,000,000,' would add a 4% income tax surcharge on the fewer than 1% of Mainers whose incomes are above $1 million to fund Maine’s public schools. Currently, #millionaires pay the same percentage of their income in taxes as someone who makes $61,000 – leaving more than $100 million a year (the amount this tax would raise) on the table.

"Bill sponsor Rep. Cheryl Golek (D-Harpswell) said that while the bill would benefit many Mainers, 'adding a modest surcharge has no impact on millionaires.'

"#LD1047, 'An Act to Impose an Additional Tax on Certain Unearned Income', adds a 4% surcharge on capital gains above $250,000 for an individual or $500,000 for a couple filing jointly.

"Since #InvestmentIncome is often taxed at a lower rate than wages, and people with more wealth tend to get more of their income from investments (such as stocks or real estate), this bill helps to address the disparity in tax rates between people with more and less wealth. It would affect only the wealthiest investors, not middle-class families selling homes or withdrawing retirement savings, while raising over $100 million to support #schools, #infrastructure, and community services, said bill sponsor Rep. Grayson Lookner (D-Portland).

"Lucas St. Clair, an immensely wealthy Falmouth resident best known for his work on the Katahdin Woods and Waters National Monument, testified in favor of both bills. He said that people with money, like his family, should pay more in taxes: 'We care about the future of this state. The inequitable tax structure of today…undermines the overall health of our communities. The wealthy should pay our fair share in taxes. Period.' He also spoke about the results of fairer tax policies: 'Fair tax policies allow more money to stay in communities, ensuring greater investment in public schools, infrastructure, and services like child care and health care.'

"Gorham child care provider Charlotte Jacobs of Scarborough testified in person in favor of both tax bills, saying that Maine’s continued failure to fully fund universal Pre-K and other essential services is a direct consequence of an unbalanced tax system."

Read more:
https://mainebeacon.com/mainers-call-on-legislature-to-fund-education-and-more-by-raising-taxes-on-wealthy/
#MainePol #TaxTheRich #USPol #Education #EducationCuts