Voters in California and Massachusetts will decide next week on a "millionaire tax" as both states have a referendum on their November ballots.
California (Proposition 30) would add a 1.75% tax levy on annual income over $2 million, this on top of the state's top income tax rate of just over 13%. In Massachusetts, voters will decide on a 4% levy on annual income over $1 million. The additional tax would be on top of the state's 5% income tax rate.
For Massachusetts, the expected revenue of a "millionaire tax" would generate $1.3 billion, money the state would use for public education and infrastructure, according to a report from Tufts University.
In California, the state's Legislative Analyst's Office projects revenues between $3.5 - $5 billion to be used for zero-emissions vehicle funding along with wildlife preservations.
In 2021, New York State set its marginal personal income tax rates for six years, through the 2027 tax year with a permanent rate beginning in 2028. New York's rates include:
9.65% for incomes between $2.1 - $5 million
10.3% for income between $5 - $25 million
10.9% for income above $25 million
Permanent 8.82% top rate for tax years 2028 and beyond