An Act To Improve Income Tax Progressivity by Establishing New Top Individual Income Tax Rates
Maine Legislature, Session 130, LD 0495
Committee: Taxation
Sponsors: OSHER, CHIPMAN, COLLINGS, COPELAND, GRAMLICH, MORALES, RECKITT, ROEDER, TEPLER, WILLIAMS
Amends: 36 MRSA §5111

Legislative Document
No. 495
H.P. 358
House of Representatives, February 19, 2021
An Act To Improve Income Tax Progressivity by Establishing New 
Top Individual Income Tax Rates
Received by the Clerk of the House on February 17, 2021.  Referred to the Committee on 
Taxation pursuant to Joint Rule 308.2 and ordered printed pursuant to Joint Rule 401.
ROBERT B. HUNT
Clerk
Presented by Representative OSHER of Orono.
Cosponsored by Senator CHIPMAN of Cumberland and
Representatives: COLLINGS of Portland, COPELAND of Saco, GRAMLICH of Old Orchard 
Beach, MORALES of South Portland, RECKITT of South Portland, ROEDER of Bangor, 
TEPLER of Topsham, WILLIAMS of Bar Harbor.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  36 MRSA §5111, sub-§1-F, as enacted by PL 2015, c. 267, Pt. DD, §3, is 
amended to read:
1-F.  Single individuals and married persons filing separate returns; tax years 
beginning from 2017 to 2020.  For tax years beginning on or after January 1, 2017 but 
before January 1, 2021, for single individuals and married persons filing separate returns:
If Maine taxable income is:
The tax is:
Less than $21,050
5.8% of the Maine taxable income
At least $21,050 but less than $50,000
$1,221 plus 6.75% of the excess over 
$21,050
$50,000 or more
$3,175 plus 7.15% of the excess over 
$50,000
Sec. 2.  36 MRSA §5111, sub-§1-G is enacted to read:
1-G.  Single individual and married persons filing separate returns beginning 
2021.  For tax years beginning on or after January 1, 2021, for single individuals and 
married persons filing separate returns:
If Maine taxable income is: 
The tax is: 
Less than $21,050 
5.8% of the Maine taxable income 
At least $21,050 but less than $50,000 
$1,221 plus 6.75% of the excess over 
$21,050 
At least $50,000 but less than $100,000 
$3,175 plus 8.35% of the excess over 
$100,000 
$100,000 or more 
$7,350 plus 11.15% of the excess over 
$100,000 
 Sec. 3.  36 MRSA §5111, sub-§2-F, as enacted by PL 2015, c. 267, Pt. DD, §5, is 
amended to read:
2-F.  Heads of households; tax years beginning from 2017 to 2020.  For tax years 
beginning on or after January 1, 2017 but before January 1, 2021, for unmarried individuals 
or legally separated individuals who qualify as heads of households:
If Maine taxable income is:
The tax is:
Less than $31,550
5.8% of the Maine taxable income
At least $31,550 but less than $75,000
$1,830 plus 6.75% of the excess over 
$31,550
$75,000 or more
$4,763 plus 7.15% of the excess over 
$75,000
Sec. 4.  36 MRSA §5111, sub-§2-G is enacted to read:
2-G.  Heads of households; tax years beginning 2021.  For tax years beginning on or 
after January 1, 2021, for unmarried individuals or legally separated individuals who 
qualify as heads of households:
If Maine taxable income is: 
The tax is: 
Less than $31,550 
5.8% of the Maine taxable income 
At least $31,550 but less than $75,000 
$1,830 plus 6.75% of the excess over 
$31,550 
At least $75,000 but less than $150,000 
$4,763 plus 8.35% of the excess over 
$75,000 
$150,000 or more 
$11,025 plus 11.15% of the excess over 
$150,000 
Sec. 5.  36 MRSA §5111, sub-§3-F, as enacted by PL 2015, c. 267, Pt. DD, §7, is 
amended to read:
3-F.  Individuals filing married joint returns or surviving spouses; tax years 
beginning from 2017 to 2020.  For tax years beginning on or after January 1, 2017 but 
before January 1, 2021, for individuals filing married joint returns or surviving spouses 
permitted to file a joint return:
If Maine taxable income is:
The tax is:
Less than $42,100
5.8% of the Maine taxable income
At least $42,100 but less than $100,000
$2,442 plus 6.75% of the excess over 
$42,100
$100,000 or more
$6,350 plus 7.15% of the excess over 
$100,000
Sec. 6.  36 MRSA §5111, sub-§3-G is enacted to read:
3-G.  Individuals filing married joint returns or surviving spouses; tax years 
beginning 2021.  For tax years beginning on or after January 1, 2021, for individuals filing 
married joint returns or surviving spouses permitted to file a joint return:
If Maine taxable income is: 
The tax is: 
Less than $42,100 
5.8% of the Maine taxable income 
At least $42,100 but less than $100,000 
$2,442 plus 6.75% of the excess over 
$42,100 
At least $100,000 but less than $200,000 
$6,350 plus 8.35% of the excess over 
$100,000 
$200,000 or more 
$14,700 plus 11.15% of the excess over 
$200,000 
 SUMMARY
This bill increases the tax rate on the current top bracket under the individual income 
tax from 7.15% to 8.35% and adds a new bracket of 11.15% on taxable income exceeding 
$100,000 for single individuals and married persons filing separately, $150,000 for heads 
of household and $200,000 for individuals filing married joint returns or surviving spouses.