2 Bills Aim to Repeal New Voter-Approved Income Surtax for Schools
AUGUSTA, Maine - Two bills would repeal a 3 percent income surtax on Maine's highest earners that voters approved last November.
The surtax makes Maine have one of the nation's highest tax rates on top of earners with a 10.15 percent tax on earnings over $200,000.
Supporters say the surtax helps the state reach its annual target of providing 55 percent of school funding.
Republicans, including GOP Gov. Paul LePage, say it's making it tougher to attract talent. The Maine State Chamber of Commerce says Maine can't afford losing high earners.
Republican Sen. Dana Dow's bill would provide school funding through other ways.
Republican Rep. Heather Sirocki's legislation would put the initiative on the November 2018 ballot.
Public hearings are scheduled for Monday afternoon.
Supporters and businesses impacted by the surcharge are set to testify.