An Act To Lower the Individual Income Tax Incrementally to Zero
Maine Legislature, Session 127, LD 0409
Committee: Taxation
Sponsors: O'CONNOR, BRAKEY, DUNPHY, GERRISH, GUERIN, LOCKMAN, LONG, SIROCKI, VACHON, MASON
Amends: 36 MRSA §5111

Legislative Document 
No. 409 
H.P. 275 
House of Representatives, February 12, 2015 
An Act To Lower the Individual Income Tax Incrementally to Zero 
Reference to the Committee on Taxation suggested and ordered printed. 
ROBERT B. HUNT 
Clerk 
Presented by Representative O'CONNOR of Berwick. 
Cosponsored by Senator BRAKEY of Androscoggin and 
Representatives: DUNPHY of Embden, GERRISH of Lebanon, GUERIN of Glenburn, 
LOCKMAN of Amherst, LONG of Sherman, SIROCKI of Scarborough, VACHON of 
Scarborough, Senator: MASON of Androscoggin. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  36 MRSA §5111, sub-§6 is enacted to read: 
6.  Incremental reduction.  For tax years beginning on or after January 1, 2016, 
taxes calculated under subsections 1-D, 2-D or 3-D are reduced by 25%. 
A.  Beginning in 2017, the State Tax Assessor shall determine annually by September 
15th whether General Fund revenue received in the previous fiscal year exceeds the 
General Fund revenue received in fiscal year 2014-15.  If the State Tax Assessor 
determines that General Fund revenue received in the preceding fiscal year exceeds 
the General Fund revenue received in fiscal year 2014-15, the tax due under this 
section for tax years beginning on or after January 1st of the succeeding calendar year 
is reduced by 50%. 
B.  Beginning in the year following implementation of a reduction in taxes under 
paragraph A, the State Tax Assessor shall determine by September 15th whether 
General Fund  revenue received in the previous fiscal year exceeds the General Fund 
revenue received in the fiscal year preceding the fiscal year in which the reduction 
under paragraph A first took effect.  If the State Tax Assessor determines that 
General Fund revenue received in the preceding fiscal year exceeds the General Fund 
revenue received in the fiscal year preceding when the reduction under paragraph A  
first took effect, the tax due under this section for tax years beginning on or after 
January 1st of the succeeding calendar year is reduced by 75%. 
C.  Beginning in the year following implementation of a reduction in taxes under 
paragraph B, the State Tax Assessor shall determine by September 15th whether 
General Fund revenue received in the previous fiscal year exceeds the General Fund 
revenue received in the fiscal year preceding the fiscal year in which the reduction 
under paragraph B first took effect.  If the State Tax Assessor determines that General 
Fund revenue received in the preceding fiscal year exceeds the General Fund revenue 
received in the fiscal year preceding when the reduction under paragraph B first took 
effect, the tax due under this section for tax years beginning on or after January 1st of 
the succeeding calendar year is reduced by 100%. 
Sec. 2.  Legislation implementing reduction of individual income tax.  By 
January 1, 2016, the Department of Administrative and Financial Services, Bureau of 
Revenue Services shall submit to the Joint Standing Committee on Taxation any draft 
legislation necessary to implement the incremental reduction to the individual income tax 
as provided in this Act.  The committee may report out legislation to implement this Act 
to the Second Regular Session of the 127th Legislature. 
SUMMARY 
This bill provides for the phase-out of the individual income tax.