Americans overwhelmingly voted against ballot initiatives to raise taxes this midterm cycle.
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As the U.S. economy strengthens and consumers begin to regain their financial footing, many measures to raise income taxes or taxes on specific items, like cigarettes, were shot down this week by taxpayers across the country. In other states caps will be implemented on how much certain dues can be raised in the future.
A measure to move from a flat income tax rate of 4.63 percent to a graduated bracket system, where the top rate would be 8.52 percent, was defeated by voters.
where lawmakers proposed establishing a 3.8 percent tax on individuals above a certain income level, residents also voted against raising taxes – revenue of which was supposed to go toward a Universal Home Care Program.
A measure will go into place that lowers the maximum allowable state income tax rate to 7 percent, from 10 percent.
Meanwhile, voters in South Dakota shot down a proposal to increase taxes on cigarettes by $1 per pack, to $2.53. Revenue from that levy was expected to be put toward workforce training programs. Montana also blocked a proposed tax hike on cigarettes.
Carbon & Gas:
A carbon tax was once again defeated in Washington, while residents of Missouri rejected a gas tax increase.
A number of states also voted for policies that will prevent state governments from raising taxes in the future, including Arizona, where voters chose to prevent new taxes or tax increases on certain services. In Florida, new tax increases can now only be approved with a two-thirds majority in the state legislature.
Two west coast states, however, voted against measures that would limit taxes. In Oregon, an initiative to limit taxes on groceries did not pass, while in California residents rejected a proposal that would have repealed a 12 cent increase to its fuel tax.
In Michigan, where recreational marijuana use was approved, a 10 percent excise tax will be implemented on purchases.