The Lisbon Reporter

WELCOME TO THE LISBON REPORTER. In an effort to keep our community informed of what is going on at local and Federal levels of government, we decided to create this on-line newspaper. It is our hope that this on-line newspaper will help you stay informed so that you can get involved and take action for the benefit of our ENTIRE community. Thank you for visiting and please check back frequently for information about what is happening in LISBON/LISBON FALLS, MAINE USA

Thursday, January 3, 2013

Maine's Governor LePage Addresses Tax Cuts

By Robert Long, BDN Staff

AUGUSTA, Maine — Gov. Paul LePage touted state tax cuts that take effect this year and called for more structural changes to make Maine state government more friendly to business in a video his office released Thursday morning.

Titled “The Truth About Tax Cuts,” the five-minute video features LePage responding to questions posed by his press secretary, Adrienne Bennett. Both label the tax cuts enacted by the Republican-led 125th Legislature “the largest tax cut in Maine history.” Democrats have criticized the tax package because it leaves to the new Legislature the task of finding roughly $400,000 in state revenue decreases that the cuts impose in the upcoming biennial budget.

The cuts include reducing the top income tax rate from 8.5 percent to 7.95 percent; eliminating the 2 percent tax bracket, which frees approximately 70,000 households from paying state income tax; higher exemptions for pension income; and a higher income threshold for the estate tax.

The governor also cited the elimination of a tax on meals served in retirement homes, calling the changes “common-sense reform that takes the tax burden off vulnerable Mainers.” He again mentioned Forbes Magazine’s ranking of Maine as the worst state in which to do business for the past three years as justification to consider further tax cuts, which he said stimulate the economy.