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Governor Healey’s Budget Hits Massachusetts Families and Businesses with New Taxes—Take Action Now!
Governor Maura Healey’s fiscal year 2026 budget is loaded with tax hikes that will make Massachusetts even less competitive. From taxing candy sales and synthetic nicotine to allowing for new local option excise taxes on meals and hotel rooms, her administration is making it more expensive to live, work, and do business in the Commonwealth. Some examples of Healey’s latest tax increases include:

New Candy Tax: Healey wants to apply the sales tax to candy, treating it like luxury goods instead of groceries. Only a few days before Valentine’s Day, and Governor Healey wants to go all in on the famous candy holiday. This will raise costs for families while driving more consumers to shop tax-free in New Hampshire. This new tax is estimated to cost the taxpayers $25 million every year.

Prescription Drug Tax: Healey’s proposed a prescription drug tax, disguised as a "pharmacy assessment," that would charge pharmacies up to $2 per prescription to fund migrant-driven increases in MassHealth costs, ultimately increasing costs for consumers.

Raising and Expanding Tobacco & Nicotine Taxes: Healey’s budget also slaps synthetic nicotine products like ZYN pouches with the same high taxes as tobacco. Massachusetts has already driven cigarette sales underground with excessive taxes (we are the number one state in the country for tobacco smuggling) this will only create more black-market activity and push even more business across state lines. This new tax is estimated to cost the taxpayers $2 million every year.

Capping Charitable Deductions: Healey’s budget also slaps a cap on charitable donation deductions, discouraging philanthropy and hurting Massachusetts nonprofits. The charitable tax deduction was a voter-approved referendum that was first passed in 2000 and only fully implemented fairly recently. Governor Healey needs to respect the will of the voters! This back door tax hike is estimated to cost the taxpayers $164 million every year.

Targeting Businesses & Tourism: By extending hotel occupancy taxes to complimentary rooms and pushing for local tax hikes on meals and lodging, Healey’s budget makes Massachusetts a more expensive place to visit and do business.

Municipal Option Taxes: Healey wants to give cities and towns more power to raise local taxes, including hotel stays and meals, as well as a new motor vehicle excise surcharge. These local tax hikes would make it even more expensive to live and do business in Massachusetts—hurting families, small businesses, and the tourism industry.

While our economy slows, people flee the state with their money and businesses, already struggling to compete. Healey’s answer is higher taxes and more government spending—a 7.4% increase over last year’s budget!

We cannot let these tax-and-spend policies go unchecked. Contact your lawmakers today and tell them to reject Healey’s tax hikes! 

Massachusetts needs policies that promote growth and competitiveness, not more reasons for businesses and families to leave the state.

Make your voice heard—email your legislators now!

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