Bob Katzen

The Senate 5-34, rejected an amendment that would reduce the short term capital gains tax from 8.5 percent to 5 percent over a three year period from 2025 to 2027.

“We have the highest short term capital gains tax in the Northeast and amongst the highest in the nation,” said Sen. Ryan Fattman (R-Sutton) who supported the amendment. “Lowering it could help business investment and actually provide economic activity.”

Amendment opponents said the Legislature recently passed, and Gov. Maura Healey signed into law, the largest tax cut in state history. They noted that the tax cut package included a reduction in the short-term capital gains tax.

“Only last year, we passed significant tax reductions,” said Sen. Pat Jehlen.(D-Somerville). “We don’t yet know all the impact. We need enough revenue to meet our needs for housing and transportation. Those investments are much more important than tax cuts for our economic future.”

(A “Yes” vote is for the reduction in the short-term capital gains tax. A “No” vote is against it.)

Sen. Patricia Jehlen No