An Act To Provide Income Tax Relief
Maine Legislature, Session 125, LD 1350
Committee: Taxation
Sponsors: STUCKEY, ALFOND, BERRY, BRYANT, FLEMINGS, GOODE, JACKSON, PATRICK
Amends: 36 MRSA §5111

Legislative Document 
No. 1350 
H.P. 991 
House of Representatives, March 29, 2011 
An Act To Provide Income Tax Relief 
Reference to the Committee on Taxation suggested and ordered printed. 
HEATHER J.R. PRIEST 
Clerk 
Presented by Representative STUCKEY of Portland. 
Cosponsored by Senator ALFOND of Cumberland and 
Representatives: BERRY of Bowdoinham, BRYANT of Windham, FLEMINGS of Bar 
Harbor, GOODE of Bangor, McCABE of Skowhegan, Senators: JACKSON of Aroostook, 
PATRICK of Oxford. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  36 MRSA §5111, sub-§1-B, as enacted by PL 1999, c. 731, Pt. T, §3, is 
amended to read: 
1-B.  Single individuals and married persons filing separate returns; tax years 
beginning 2002 to 2012.  For tax years beginning on or after January 1, 2002 and before 
January 1, 2013, for single individuals and married persons filing separate returns: 
Sec. 2.  36 MRSA §5111, sub-§2-B, as enacted by PL 1999, c. 731, Pt. T, §5, is 
amended to read: 
2-B.  Heads of households; tax years beginning 2002 to 2012.  For tax years 
beginning on or after January 1, 2002 and before January 1, 2013, for unmarried 
individuals or legally separated individuals who qualify as heads of households: 
Sec. 3.  36 MRSA §5111, sub-§3-B, as enacted by PL 1999, c. 731, Pt. T, §7, is 
amended to read: 
3-B.  Individuals filing married joint return or surviving spouses; tax years 
beginning 2002 to 2012.  For tax years beginning on or after January 1, 2002 and before 
January 1, 2013, for individuals filing married joint returns or surviving spouses 
permitted to file a joint return: 
Sec. 4.  36 MRSA §5111, sub-§6 is enacted to read: 
If Maine Taxable income is: 
The tax is: 
Less than $4,200 
2% of the Maine taxable income 
At least $4,200 but less than $8,350 
$84 plus 4.5% of the excess over $4,200 
At least $8,350 but less than $16,700 
$271 plus 7% of the excess over $8,350 
$16,700 or more 
$856 plus 8.5% of the excess over $16,700 
If Maine Taxable income is: 
The tax is: 
Less than $6,300 
2% of the Maine taxable income 
At least $6,300 but less than $12,500 
$126 plus 4.5% of the excess over $6,300 
At least $12,500 but less than $25,050 
$405 plus 7% of the excess over $12,500 
$25,050 or more 
$1,284 plus 8.5% of the excess over 
$25,050 
If Maine Taxable income is: 
The tax is: 
Less than $8,400 
2% of the Maine taxable income 
At least $8,400 but less than $16,700 
$168 plus 4.5% of the excess over $8,400 
At least $16,700 but less than $33,400 
$542 plus 7% of the excess over $16,700 
$33,400 or more 
$1,711 plus 8.5% of the excess over 
$33,400 
6.  Balancing of tax brackets.  For tax years beginning on or after January 1, 2013, 
taxes assessed under this section are calculated using income tax bracket thresholds 
calculated under this subsection. 
A.  By September 1, 2012 and every 5 years thereafter, the assessor shall calculate 
income tax bracket thresholds for single persons and married persons filing 
separately, married persons filing jointly and surviving spouses and heads of 
household that result in the balancing of individual income taxes so that the following 
percentages of tax filers pay the following top marginal tax rates: 
B.  The income tax bracket thresholds calculated under paragraph A apply to tax 
years beginning on or after the January 1st following the determination of the new 
bracket thresholds. 
C.  The assessor shall submit a report to the joint standing committee of the 
Legislature having jurisdiction over taxation matters by the September 15th of the 
year of calculation containing the new income tax bracket thresholds, describing the 
method used to make the calculation and the bracket threshold amounts and 
estimating the impact of the new rates on individual income tax revenues. 
SUMMARY 
This bill reforms the Maine income tax by establishing a rate structure that includes 6 
income tax bracket thresholds with top marginal tax rates from 0% to 10%.  The income 
thresholds for each rate would be calculated by the State Tax Assessor every 5 years to 
maintain the same level of progressivity of the tax by maintaining the same percentage of 
taxpayers in each top marginal rate category. 
Top marginal tax rate 
Percentage of filers 
0% 
18% 
2% 
22% 
4.5% 
22% 
7% 
17% 
8.5% 
13% 
10% 
8%