Current:Home > reviewsMassachusetts passed a millionaire's tax. Now, the revenue is paying for free public school lunches. -GrowthProspect
Massachusetts passed a millionaire's tax. Now, the revenue is paying for free public school lunches.
View
Date:2025-04-19 03:19:08
Every kid in Massachusetts will get a free lunch, paid for by proceeds from a new state tax on millionaires.
A new 4% tax on the state's wealthiest residents will account for $1 billion of the state's $56 billion fiscal budget for 2024, according to state documents. A portion of those funds will be used to provide all public-school students with free weekday meals, according to State House News Service.
The new tax, which was approved by voters last year and went into effect in 2023, applies to Massachusetts residents with incomes over $1 million. The new tax adds an extra 4% on earnings above that threshold, making the state's income tax rate one of the highest in the U.S.
Massachusetts' millionaires tax comes as some other Democratic-run states are seeking to bolster their finances through proposed wealth taxes, with the goal of funding social programs such as free school lunches for children. Proponents of wealth taxes argue that the richest Americans have grown their wealth partly due to tax breaks that aren't available to low- and middle-class families, and thus additional taxes on the rich are needed.
With its new budget, which was signed into law by Gov. Maura Healy last week, Massachusetts is now the seventh state to provide free school lunches to kids since COVID-19 funding for free school meals expired.
"[F]ree universal school meals will literally change lives, full stop," said Rep. Jim McGovern, a Democrat from Massachusetts, in a statement earlier this month. "No child in Massachusetts will ever have to wonder how to get though the school day on an empty stomach."
Child care spending and bridges
Of the wealth tax's $1 billion in new revenue, about $524 million will be directed to education, including providing free school lunches as well as expanding child care access and financial aid for college students, according to the governor's office. The rest of the millionaire's tax will fund transportation initiatives, including work on bridges and mass transportation.
The guarantee for free school lunches in Massachusetts comes at an opportune time for families with budgets stretched thin by inflation and as food insecurity is on the rise.
Late last year, a Covid-19 pandemic-relief program that funded free breakfast and lunch for U.S. schoolchildren expired, renewing financial hardship and hunger concerns for many American families. Anti-hunger advocates have urged lawmakers to expand school meal programs, noting that research has shown that hunger can hurt a kid's performance in school.
A May study from the Greater Boston Food Bank found that 33% of Massachusetts households were food insecure in 2022.
- In:
- Massachusetts
- Taxes
veryGood! (5)
Related
- US wholesale inflation accelerated in November in sign that some price pressures remain elevated
- Cookie Monster complaint about shrinkflation sparks response from White House
- Is time running out for TikTok? New bill would force TikTok to cut off China or face ban
- More tears flow during Kelce brothers' latest 'New Heights' episode after Jason's retirement
- Cincinnati Bengals quarterback Joe Burrow owns a $3 million Batmobile Tumbler
- NFL franchise tag deadline winners, losers: Who emerged from 2024 deadline with advantage?
- Wisconsin appeals court says regulators must develop PFAS restrictions before mandating clean-up
- Sister Wives Stars Janelle and Kody Brown's Son Garrison Dead at 25
- 'Most Whopper
- Fiery explosion leaves one dead and others injured in Michigan: See photos of the blaze
Ranking
- The 401(k) millionaires club keeps growing. We'll tell you how to join.
- Antoine Predock, internationally renowned architect and motorcycle aficionado, dies at 87
- Jason Kelce Reveals the Biggest Influence Behind His Retirement Decision
- Microsoft investigates claims of chatbot Copilot producing harmful responses
- McKinsey to pay $650 million after advising opioid maker on how to 'turbocharge' sales
- Shania Twain's iconic 'Man! I Feel Like a Woman!' look becomes a Barbie
- Tesla price cuts rattle EV stocks as Rivian and Lucid face market turbulence
- Liberty University agrees to unprecedented $14 million fine for failing to disclose crime data
Recommendation
Federal court filings allege official committed perjury in lawsuit tied to Louisiana grain terminal
What does it take to be an astronaut? NASA is looking to select new recruits
Trump-backed Mark Robinson wins North Carolina GOP primary for governor, CBS News projects
Under $50 Decoration Tips for a Small Bedroom
Jamie Foxx reps say actor was hit in face by a glass at birthday dinner, needed stitches
Texas fire chief who spent 9 days fighting historic wildfires dies responding to early morning structure fire
Busta Rhymes cancels all 2024 Blockbusta tour dates a week before kickoff
Las Vegas’ Bellagio pauses fountain show when rare bird visits