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Question of sales tax reduction to be included on ballot

By Gabrielle Tassone - February 15, 2010

An initiative to lower the state sales tax is making its way onto the November ballot, and one challenger for the Governor's Office is already stepping up to support it.

Republican Christy Mihos is the only gubernatorial candidate in a field of six to endorse the proposal to lower the sales tax from 6.25 percent to 3 percent.

Other candidates say that though lowering the tax rate is favorable, the original 5 percent rate is preferable to 3 percent.  The sales tax was raised from 5 percent to 6.25 percent last fall.

"I suspect that given people's attitudes right now, it has a good chance of passing," State Treasurer Timothy Cahill said.

Cahill, who is running as an independent, said that such a dramatic cut would limit options for other tax cuts he wishes to propose.

Proponents of lower taxes tried unsuccessfully in the 2008 general election to eliminate the state income tax, saying at the time it would put more money in people's pockets and would force the government to spend their money more wisely.


Mihos said the tax cut would give back an average of $689 to Massachusetts consumers and considers it "a stimulus for the rest of us."  Mihos did concede that the sales tax cut could hurt the state financially.

Grace Ross, a Democratic challenger, told the Globe she opposes raising the sales tax to 6.25 percent because "it disproportionately hurts people who work for a living, and spend what they earn." 

A spokesman for Governor Deval Patrick said the incumbent favors cutting back the sales tax, but opposes slashing it as far as 3 percent.