Massachusetts Millionaire’s Tax Is Now In Effect

As of this week, Massachusetts is taxing income differently from the way it has done in the past. As of Sunday, January 1, 2023, Massachusetts has two income tax brackets. Any income earned under the $1 million threshold will still be taxed at the 5 percent rate. However, the tax rate for income exceeding $1 million increased to 9 percent. Previously, the state had a flat 5 percent state income tax on all income.

As of this week, Massachusetts is taxing income differently from the way it has done in the past. As of Sunday, January 1, 2023, Massachusetts has two income tax brackets. Any income earned under the $1 million threshold will still be taxed at the 5 percent rate. However, the tax rate for income exceeding $1 million increased to 9 percent. Previously, the state had a flat 5 percent state income tax on all income.…