What is the Small Government Act to End the Income Tax?

The Small Government Act to End the Income Tax was the boldest tax cut initiative in American history. It was a citizen petition initiative placed on the 2002 Massachusetts ballot as "Question 1" by the Committee for Small Government.

It won an unprecedented 45% of the vote. If it had passed, it would have repealed all Massachusetts state taxes on personal income: wages, passive income (interest and dividends) and capital gains.

If we End the Income Tax in Massachusetts:

  • Over 3,000,000 taxpayers in Massachusetts will get back an average of $3,000 each in taxes -- every year. That’s money you can spend, save, or give away - in your own community.
  • You will no longer pay the 5.3% state income tax on wages.
  • If you’re retired and living on annuity income, you will no longer pay 5.3% tax on interest or dividends that you need to make ends meet.
  • You will no longer pay up to 12% capital gains tax for the sale of your home or other assets such as stocks.

Best of all, there will be $9 billion less that the state government can waste, misspend, hand out in pork-barrel projects, or use for Big Government Programs that fail and that make things worse.

Does ending the income tax go far enough?

Massachusetts state budget for fiscal year 2001:
$23 billion
Income taxes collected in 2000:
$9 billion
Money left for budget after we end the income tax:
$14 billion
Last budget Governor Michael Dukakis signed into law:
$12 billion
Growth in budget under Republican governors 1992-2002:
$10 billion

Ending the Income Tax would merely drop state spending to $2 billion more than where Big Government Michael Dukakis left it.

Ending the Income Tax is a first step towards small government.

If this is what you want, please help advance the cause of individual liberty, personal responsibility, and small government! Please visit the new Center for Small Government.