We stand up for a Massachusetts where everyone gets a fair shot, does and pays their fair share, and plays by the same rules.
Letters appeared in The Berkshire Eagle, the Daily Hampshire Gazette, the Fall River Herald, The Taunton Daily News and others following our hearing on closing a tax loophole in Massachusetts:
State must close tax haven loophole
To the editor:
When it comes to taxes, here’s one thing we should be able to agree on: Everyone should play by the same rules. A few corporations shouldn’t be allowed to avoid the taxes that everyone else pays.
But that’s exactly what happens. Large multinational companies use accounting tricks to hide their profits in offshore tax havens. Massachusetts can take action right now, and close a loophole which drains $79 million from the state budget each year. Why should the rest of us pick up the tab for companies that skip the check?
On Tuesday, lawmakers in Massachusetts considered such a reform, a reform already in place in Oregon and Montana. You’d think it would be a no-brainer for Massachusetts to join them, but with heavy lobbying from the companies that take advantage of the loophole, it’s by no means a sure thing. Let’s hope our elected officials make the right decision, and even the playing field.
Letter: When it comes to fixing the T, solution might lie beyond the ‘waters edge’
As lawmakers consider options for winterizing the MBTA, they are also considering a measure to close a corporate tax loophole. After all, it wasn’t just the brutal winter that frustrates Bay State residents; many of us are just as tired of the corporate tax dodging that makes investing in our transportation system harder.
Corporations hide profits in offshore tax havens to dodge paying the taxes that other business pay. If we closed one such loophole (known as the “waters edge” loophole), we’d generate $79 million per year for the state budget. That money could pay for 95 percent of the improvements Gov. Baker proposed to winterize the MBTA and prevent the same kind of shutdowns we saw this past winter.
Already 57 legislators have cosponsored legislation in both the state House (Cutler) and Senate (Montigny) to close this tax loophole. We all want to live in a Massachusetts where everyone gets a fair shot and plays by the same rules. Improving our transit system using revenue generated from closing this loophole would benefit our city and keep our tax system fair.
Thank you for your time and consideration.
State bills would close corporate tax loopholes
To the editor:
As summer sets in, vacationers aren’t the only ones benefiting from the perks of an island getaway. Corporations avoid paying taxes by shifting their profits earned here in Massachusetts to places like the Cayman Islands and the Bahamas. But these taxes are paid fully by local businesses.
It’s time to close the loophole that allows these big corporations to hide their profits overseas and avoid paying their fair share of taxes. That’s the idea behind bills that have been filed in both the Massachusetts House and Senate which would reclaim $79 million in revenue lost each year due to offshore tax dodging.
How can we provide the services that we all need, from fixing up the MBTA to expanding early education programs, if large multinational companies don’t pay their fair share? I hope our legislators will recognize the crucial importance of closing this tax loophole.
The writer is a summer associate with Massachusetts Fair Share based at Boston College.