Massachusetts Millionaire’s Tax Exceeds Revenue Estimates Again, Supporters Claim Wealthy Stay
Supporters of Massachusetts's 'Millionaire's tax' state that the surtax has generated $3.4 billion in fiscal year 2026, exceeding original revenue estimates for the third consecutive year. This revenue figure is being used to argue that wealthy individuals are remaining in…
Boston, MA, July 22, 2026 —
Massachusetts’s surtax on high earners, often referred to as the ‘Millionaire’s tax,’ has generated approximately $3.4 billion in fiscal year 2026. This figure represents the third consecutive year the tax has surpassed its initial revenue projections.
Proponents of the tax are utilizing this revenue data to support their assertion that wealthy individuals are not departing the state in large numbers, contrary to some earlier predictions. The surtax, which imposes an additional 4% tax on income over $1 million, was enacted through a ballot measure.
The consistent outperformance of revenue estimates suggests a potential stabilization or even growth in the high-income earner population within Massachusetts, according to tax supporters. They argue that the generated funds are being used to support public services and investments, as intended by the ballot measure.
Details regarding the specific breakdown of income sources contributing to the $3.4 billion, or the exact number of individuals subject to the tax, were not provided in the summary. The summary also did not specify the original revenue estimates that were exceeded.
The long-term impact of the ‘Millionaire’s tax’ on wealth migration and the state’s economy remains a subject of ongoing analysis and discussion among policymakers and economic experts.
Story summarized from the original created by WBUR on www.wbur.org, see more information here.
