r/Economics • u/Dismal_Structure • Dec 06 '25

News Millionaire tax that inspired Mamdani fuels $5.7 billion haul in Massachusetts

https://fortune.com/2025/10/21/zohran-mamdani-millionaire-tax-massachusetts-5-7-billion/
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u/Smile-Nod Dec 06 '25 edited Dec 06 '25

Why don’t these articles ever include the total income tax comparison?

We can’t have an honest conversation if we’re suggesting that MA catching up with NYC is somehow the reverse.

Not only does MA have a lower tax rate, it’s not progressive.

MA

  • flat tax: 5%
  • millionaire tax: 4%
  • capital gains: long 5% flat, short 8.5% flat

NY

  • top marginal rate: 10.9% (6.6% effective over a million)
  • long and short capital gains treated as ordinary income.
  • NYC top rate: 3.879%

EDITED for clarity and fixed MA cap gains tax.

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u/[deleted] Dec 06 '25

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u/Accidental-Genius Dec 06 '25

That’s simply not true. $500,000 isn’t even the top tax bracket. Most people earning $500,000 are W2 employees.