An Act To Make the Income Tax More Equitable for Citizens of the State
Sec. 1. 36 MRSA §5111, sub-§1-C, as enacted by PL 2011, c. 380, Pt. N, §2 and affected by §19, is amended to read:
| If Maine Taxable income is: | The tax is: |
| At least $5,000 but less than $19,950 | 6.5% of the excess over $5,000 |
| $19,950 or more but less than $125,000 | $972 plus 7.95% of the excess over $19,950 |
| $125,000 or more | $9,323 plus 8.5% of the excess over $125,000 |
Sec. 2. 36 MRSA §5111, sub-§2-C, as enacted by PL 2011, c. 380, Pt. N, §4 and affected by §19, is amended to read:
| If Maine Taxable income is: | The tax is: |
| At least $7,500 but less than $29,900 | 6.5% of the excess over $7,500 |
| $29,900 or more but less than $187,500 | $1,456 plus 7.95% of the excess over $29,900 |
| $187,500 or more | $13,985 plus 8.5% of the excess over $187,500 |
Sec. 3. 36 MRSA §5111, sub-§3-C, as enacted by PL 2011, c. 380, Pt. N, §6 and affected by §19, is amended to read:
| If Maine Taxable income is: | The tax is: |
| At least $10,000 but less than $39,900 | 6.5% of the excess over $10,000 |
| $39,900 or more but less than $250,000 | $1,944 plus 7.95% of the excess over $39,900 |
| $250,000 or more | $18,647 plus 8.5% of the excess over $250,000 |
summary
This bill reinstates the 8.5% tax rate for high-income taxpayers. The higher tax rates apply to individuals filing married joint returns or surviving spouses who have Maine taxable income of $250,000 or more, heads of households who have Maine taxable income of $187,500 or more and single individuals and married persons filing separate returns who have Maine taxable income of $125,000 or more.