What to Know About Massachusetts Ballot Question 5

Question 5 on the Massachusetts ballot this November relates to how the state’s tax revenue limit is calculated; it asks voters if they want a change to that formula or not. A “Yes” vote on Question 5 would make it so that the state’s tax revenue limit would be “equal to the sum of the net amount of state revenue from the year prior and the average growth of wages and salaries in Massachusetts over the past three years,” according to Ballotpedia. As things stand, the state’s tax revenue limit is based off of the prior tax year’s limit alongside growing wages and salaries. In other words, the ability for the state government to increase revenue would be capped based on realized revenue as well as how salaries and wages grow in Massachusetts with a “Yes” vote. If Question 5 passes, the new limit would be calculated based on the actual revenue collected by the state as opposed to the maximum amount the state could be taking in. We spoke with Executive Director of the Massachusetts Fiscal Alliance Paul Craney and Director of Research and Policy Analysis at the Massachusetts Budget and Policy Center Phineas Baxandall to hear their thoughts about this ballot question. Intro: 0:00 Yes on 9: 0:36 No on 9: 15:29 Outro: 30:28