An Act to Abolish the Maine Income Tax and Establish a Zero-based Budget

• Budget and Finance
• 03/30/2023

This bill eliminates the Maine income tax beginning January 1, 2026. It requires the Department of Administrative and Financial Services to review provisions of law that refer to income tax and submit a report, including suggested legislation, to the Second Regular Session of the 131st Legislature identifying necessary changes to implement the elimination. The bill also requires the development of a new budgeting system in which agencies would be subject to zero-based budgeting every 8 years and in the interim years be subject to review and alternative budget requirements.