Baker supports Legislature's $250 rebate plan, but hopes for more tax relief in Massachusetts
BOSTON - Gov. Charlie Baker said Friday he "will certainly sign" a bill to get $250 "economic relief rebates" to Massachusetts taxpayers into law, but he hopes it's just the start of tax relief efforts in a state that finds itself flush with cash at the moment.
"Given that the cost of everything has gone up, anything helps," the governor told reporters.
The one-time rebates would be $250 for individual taxpayers, and $500 to married couples who file joint returns. Taxpayers will need to have made a minimum of $38,000 in 2021, but not more than $100,000 to be eligible. The maximum limit for joint filers is $150,000.
The checks would be issued to residents before Sept. 30, 2022.
Baker said the rebates would be "a welcome piece of relief. . . but I would hope it would be the start of a series of initiatives."
Back in January, Baker filed a $700 million tax relief bill. He says it will help seniors, renters and low-income residents who are facing skyrocketing inflation. His plan also doubles the estate tax threshold and changes the short-term capital gains tax.
The rebate plan has its critics - economist Jonathan Gruber told WBZ-TV that "it's only going to worsen the inflation problem." Baker said the state is well-positioned to fund both the rebates and his tax relief proposal.
"Massachusetts has had an astonishing year financially," Baker said. "We're basically closing the books with a surplus that is north of $3 billion."