Tax Reform is "Revenue Neutral" It does not cut taxes across the board but changes the structure of our principal taxes to improve the state's fiscal position.

It has four objectives:

• Reducing the excessive income tax rate that penalizes virtually all Mainers, discourages retirees from staying in or coming to Maine and puts off companies considering relocating here.
  
• Raising the meal and lodging tax to a rate closer to nearby states and provinces - but not as high as theirs - so visitors will pay a larger share of the costs of maintaining a state infrastructure they benefit from.
  
• Raising the balance of the revenue needed to offset the revenue lost with the income tax cut, by increased sales tax revenue - not from raising the tax rate - but by expanding the categories of items covered.
  
• Creating a tax structure to help stabilize state revenue during future swings in the national economy.

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