Maine Resident Income Tax in 2013, Old Law and LD 1495

Old law LD 1495

Individual Tax Individual Tax Change in Tax Percent Families Tax Average Families Tax Average Families with
Tax Liability Percentage Liability Percentage Liability Tax with Tax Decrease Tax with Tax Increase Tax Tax Increase
Expanded Income Families ($ MIL) Distribution ($ MIL) Distribution ($ MIL) Change Decrease ($ MIL) Decrease Increase ($ MIL) Increase (percent)

-$ Infinity <= 14594 138,657 $4.907 0.3% -$7.690 -0.6% -$12.597 -256.7% 138,519 -$12.598 -$91.0 138 $0.001 $8.0 0.1%
14594 <= 20835 69,314 $7.143 0.5% $1.014 0.1% -$6.129 -85.8% 69,028 -$6.134 -$88.9 286 $0.005 $16.8 0.4%
20835 <= 27658 69,355 $14.965 1.0% $9.345 0.7% -$5.621 -37.6% 68,904 -$5.650 -$82.0 451 $0.029 $65.3 0.6%
27658 <= 35970 69,290 $34.099 2.4% $27.457 2.1% -$6.642 -19.5% 68,043 -$6.842 -$100.6 1,247 $0.201 $160.8 1.8%
35970 <= 47389 69,329 $62.624 4.4% $55.978 4.2% -$6.646 -10.6% 65,546 -$7.437 -$113.5 3,783 $0.791 $209.2 5.5%
47389 <= 62853 69,318 $105.787 7.4% $99.159 7.5% -$6.628 -6.3% 62,966 -$8.600 -$136.6 6,352 $1.972 $310.4 9.2%
62853 <= 83757 69,324 $156.184 10.9% $150.287 11.3% -$5.897 -3.8% 59,527 -$9.364 -$157.3 9,797 $3.466 $353.8 14.1%
83757 <= 119293 69,322 $265.870 18.6% $258.461 19.4% -$7.409 -2.8% 56,875 -$13.561 -$238.4 12,447 $6.153 $494.3 18.0%
119293 <= $ Infinity 69,323 $777.009 54.4% $735.668 55.3% -$41.342 -5.3% 53,190 -$64.690 -$1,216.2 16,055 $23.348 $1,454.3 23.2%
Totals 693,232 $1,428.589 100.0% $1,329.678 100.0% -$98.911 -6.9% 642,597 -$134.877 -$209.9 50,557 $35.966 $711.4 7.3%

Top Decile Decomposition: 90-95, 95-99, and 99+ :

119293 <= 159211 34,662 $205.753 14.4% $202.223 15.2% -$3.531 -1.7% 27,224 -$9.506 -$349.2 7,432 $5.975 $804.0 21.4%
159211 <= 350810 27,730 $284.307 19.9% $279.049 21.0% -$5.258 -1.8% 20,301 -$15.196 -$748.5 7,400 $9.938 $1,343.0 26.7%
350810 <= $ Infinity 6,931 $286.949 20.1% $254.396 19.1% -$32.553 -11.3% 5,664 -$39.988 -$7,059.5 1,223 $7.435 $6,078.9 17.6%

Maine Revenue Services

Economic Research Division
 Maine Resident Sales Tax in FY 2013, Old Law and LD 1495

Old law LD 1495

Individual Tax Individual Tax Change in Tax Percent Families Tax Average
Tax Liability Percentage Liability Percentage Liability Tax with Tax Increase Tax
Expanded Income Families ($ MIL) Distribution ($ MIL) Distribution ($ MIL) Change Increase ($ MIL) Increase

-$ Infinity <= 14594 138,657 $43.382 5.3% $46.187 5.3% $2.805 6.5% 112,486 $2.805 $24.9
14594 <= 20835 69,314 $29.911 3.7% $31.936 3.7% $2.025 6.8% 55,884 $2.025 $36.2
20835 <= 27658 69,355 $39.849 4.9% $42.478 4.9% $2.629 6.6% 58,834 $2.629 $44.7
27658 <= 35970 69,290 $59.399 7.3% $63.551 7.3% $4.152 7.0% 64,997 $4.152 $63.9
35970 <= 47389 69,329 $69.298 8.5% $74.673 8.5% $5.375 7.8% 67,638 $5.375 $79.5
47389 <= 62853 69,318 $83.474 10.3% $89.975 10.3% $6.500 7.8% 68,518 $6.500 $94.9
62853 <= 83757 69,324 $92.359 11.4% $99.576 11.4% $7.217 7.8% 68,974 $7.217 $104.6
83757 <= 119293 69,322 $118.031 14.5% $127.313 14.6% $9.281 7.9% 69,294 $9.281 $133.9
119293 <= $ Infinity 69,323 $277.556 34.1% $299.130 34.2% $21.575 7.8% 69,323 $21.575 $311.2
Totals 693,232 $813.260 100.0% $874.818 100.0% $61.558 7.6% 635,948 $61.558 $96.8

Top Decile Decomposition: 90-95, 95-99, and 99+ :

119293 <= 159211 34,662 $83.017 10.2% $89.442 10.2% $6.425 7.7% 34,662 $6.425 $185.4
159211 <= 350810 27,730 $104.460 12.8% $112.564 12.9% $8.104 7.8% 27,730 $8.104 $292.3
350810 <= $ Infinity 6,931 $90.079 11.1% $97.124 11.1% $7.046 7.8% 6,931 $7.046 $1,016.5

Maine Revenue Services

Economic Research Division
732.67 790.52 57.85
$3.711
111.00% 110.66% 106.42%

1.06

-$ Infinity <= 13342 133,133 $38.485 5.3% $41.077 5.2% $2.592 6.7% ### $2.592 $24.3
13342 <= 19046 66,585 $26.677 3.6% $28.535 3.6% $1.857 7.0% ### $1.857 $35.3
19046 <= 25325 66,534 $35.011 4.8% $37.401 4.7% $2.391 6.8% ### $2.391 $42.3
25325 <= 32834 66,562 $53.643 7.3% $57.476 7.3% $3.833 7.1% ### $3.833 $61.0
32834 <= 44385 66,565 $63.462 8.7% $68.437 8.7% $4.975 7.8% ### $4.975 $76.4
44385 <= 58705 66,562 $75.548 10.3% $81.766 10.3% $6.218 8.2% ### $6.218 $94.5
58705 <= 79287 66,563 $87.678 12.0% $94.792 12.0% $7.114 8.1% ### $7.114 $107.3
79287 <= 114104 66,564 $105.242 14.4% $113.929 14.4% $8.687 8.3% ### $8.687 $130.5
114104 <= $ Infinity 66,561 $246.927 33.7% $267.108 33.8% $20.181 8.2% ### $20.181 $303.2
Totals 665,629 $732.673 100.0% $790.520 100.0% $57.848 7.9% ### $57.848 $95.0
Top Decile Decomposition: 90-95, 95-99, and 99+ :
114104 <= 152267 33,280 $75.068 10.2% $81.140 10.3% $6.073 8.1% ### $6.073 $182.5
152267 <= 333388 26,625 $94.299 12.9% $101.968 12.9% $7.669 8.1% ### $7.669 $288.0
333388 <= $ Infinity 6,656 $77.561 10.6% $84.001 10.6% $6.440 8.3% ### $6.440 $967.6

-$ Infinity <= 13342 112.44%

13342 <= 19046 111.92%
19046 <= 25325 113.57%
25325 <= 32834 110.57%
32834 <= 44385 109.11%
44385 <= 58705 110.04%
58705 <= 79287 105.05%
79287 <= 114104 111.75%
114104 <= $ Infinity 111.99%
Totals 110.66%
Top Decile Decomposition: 90-95, 95-99, and 99+ :
114104 <= 152267 110.23%
152267 <= 333388 110.39%
333388 <= $ Infinity 115.62%
 Combined Incidence (Sales and income Tax) in 2013, Old Law and LD 1495
Incidence analysis combines FY 2013 sales tax proposal and calendar year 2013 income tax proposal
Old law LD 1495
Individual Tax Individual Tax Change in Tax Percent Families Tax Average Families Tax Average Families with
Tax Liability Percentage Liability Percentage Liability Tax with Tax Decrease Tax with Tax Increase Tax Tax Increase
Expanded Income Families ($ MIL) Distribution ($ MIL) Distribution ($ MIL) Change Decrease ($ MIL) Decrease Increase ($ MIL) Increase (percent)

-$ Infinity <= 14594 138,657 $48.289 2.2% $38.497 1.7% -$9.793 -20.3% 137,917 -$9.812 -$71.1 740 $0.019 $25.6 0.5%
14594 <= 20835 69,314 $37.054 1.7% $32.950 1.5% -$4.104 -11.1% 65,989 -$4.167 -$63.1 3,325 $0.063 $18.9 4.8%
20835 <= 27658 69,355 $54.815 2.4% $51.822 2.4% -$2.992 -5.5% 58,099 -$3.256 -$56.0 11,256 $0.264 $23.5 16.2%
27658 <= 35970 69,290 $93.498 4.2% $91.008 4.1% -$2.490 -2.7% 45,958 -$3.125 -$68.0 23,332 $0.635 $27.2 33.7%
35970 <= 47389 69,329 $131.922 5.9% $130.651 5.9% -$1.270 -1.0% 47,934 -$3.008 -$62.8 21,395 $1.738 $81.2 30.9%
47389 <= 62853 69,318 $189.261 8.4% $189.134 8.6% -$0.127 -0.1% 44,434 -$3.409 -$76.7 24,884 $3.282 $131.9 35.9%
62853 <= 83757 69,324 $248.543 11.1% $249.862 11.3% $1.319 0.5% 42,661 -$3.850 -$90.2 26,663 $5.169 $193.9 38.5%
83757 <= 119293 69,322 $383.902 17.1% $385.774 17.5% $1.872 0.5% 45,010 -$6.674 -$148.3 24,312 $8.547 $351.5 35.1%
119293 <= $ Infinity 69,323 $1,054.566 47.0% $1,034.798 46.9% -$19.768 -1.9% 41,656 -$49.764 -$1,194.6 27,667 $29.996 $1,084.2 39.9%
Totals 693,232 $2,241.849 100.0% $2,204.496 100.0% -$37.353 -1.7% 529,658 -$87.066 -$164.4 163,574 $49.713 $303.9 23.6%

Top Decile Decomposition: 90-95, 95-99, and 99+ :

119293 <= 159211 34,662 $288.771 12.9% $291.665 13.2% $2.894 1.0% 21,134 -$4.969 -$235.1 13,527 $7.863 $581.3 39.0%
159211 <= 350810 27,730 $388.767 17.3% $391.613 17.8% $2.846 0.7% 15,883 -$9.964 -$627.3 11,847 $12.810 $1,081.3 42.7%
350810 <= $ Infinity 6,931 $377.028 16.8% $351.520 15.9% -$25.508 -6.8% 4,638 -$34.831 -$7,509.2 2,293 $9.323 $4,065.8 33.1%

Maine Revenue Services

Economic Research Division
MRS-TAX-INCIDENCE-REPORT-2013

SUMMARY OF MAINE REVENUE SERVICES ESTIMATE OF IMPACT OF LD 1495 "TAX REFORM" IN YEAR 2013

Old law LD 1495

Total Tax Average Tax Percent Individual Tax Individual Tax Families Tax Average Families Tax Average Families with
Tax Increase Increase Tax Liability Percentage Liability Percentage with Tax Decrease Tax with Tax Increase Tax Tax Increase
Expanded Income Families (Decrease) (Decrease) Change ($ MIL) Distribution ($ MIL) Distribution Decrease ($ MIL) Decrease Increase ($ MIL) Increase (percent)
LESS THAN $ 35,970 346,616 ($13,379,000) ($39) -5.73% $233.656 10.4% $214.277 9.7% ### 307,964 -$14.360 -$46.63 38,652 $0.98 $25.38 11.2%
$ 35,970 - $ 62,853 138,647 ($1,397,000) ($10) -0.43% $321.183 14.3% $319.785 14.5% ### 92,367 -$6.417 -$69.47 46,279 $5.02 $108.47 33.4%
$ 62,853 - $ 83,757 69,324 $1,319,000 $19 0.53% $248.543 11.1% $249.862 11.3% 42,661 -$3.850 -$90.2 26,663 $5.169 $193.9 38.5%
$ 83,757 - $119,293 69,322 $1,872,000 $27 0.49% $383.902 17.1% $385.774 17.5% 45,010 -$6.674 -$148.3 24,312 $8.547 $351.5 35.1%
$119,293 - $159,211 34,662 $2,894,000 $83 1.00% $288.771 12.9% $291.665 13.2% 21,134 -$4.969 -$235.1 13,527 $7.863 $581.3 39.0%
$159,211 - $350,810 27,730 $2,846,000 $103 0.73% $388.767 17.3% $391.613 17.8% 15,883 -$9.964 -$627.3 11,847 $12.810 $1,081.3 42.7%
---------------- --------------------- -------------------- ------------------- ------------------------------------- --------------------------------------- ------------------ ------------------- ------------------- ------------------- ---------------------------------------------------------
SUBTOTAL 686,301 ($5,845,000) ($9) -0.31% $1,864.822 83.18% $1,852.976 84.05% 525,020 -$46.234 -$88.06 161,281 $40.390 $250.43 23.5%

MORE THAN $350,810 6,931 ($25,508,000) ($3,680) -6.80% $377.028 16.8% $351.520 15.9% 4,638 -$34.831 -$7,509.2 2,293 $9.323 $4,065.8 33.1%
--------------- -------------------- -------------------- ------------------ ------------------ ------------------ -------------------- ------------------ ------------------ ------------------ ------------------ ------------------ ------------------ ------------------ ------------------
Total 693,232 ($31,353,000) ($45) -1.40% $2,241.850 100.0% $2,204.496 100.0% 529,658 -$81.065 -$153.05 163,574 $49.713 $303.92 23.6%

NOTE: THE NUMBERS ABOVE INCLUDE THE MAINE REVENUE SERVICES ESTIMATE THAT ABOUT $6 MILLION IN TAX REFUNDS
ALLOWED FOR ABOUT 120,000 LOW INCOME TAXPAYERS WILL NOT BE COLLECTED DUE TO FAILURE TO FILE INCOME TAX RETURN.

Combined Incidence (Sales and income Tax) in 2013, Old Law and LD 1495
Incidence analysis combines FY 2013 sales tax proposal and calendar year 2013 income tax proposal
Old law LD 1495
Individual Tax Individual Tax Change in Tax Percent Families Tax Average Families Tax Average Families with
Tax Liability Percentage Liability Percentage Liability Tax with Tax Decrease Tax with Tax Increase Tax Tax Increase
Expanded Income Families ($ MIL) Distribution ($ MIL) Distribution ($ MIL) Change Decrease ($ MIL) Decrease Increase ($ MIL) Increase (percent)

-$ Infinity <= 14594 138,657 $48.289 2.2% $38.497 1.7% -$9.793 -20.3% 137,917 -$9.812 -$71.1 740 $0.019 $25.6 0.5%
14594 <= 20835 69,314 $37.054 1.7% $32.950 1.5% -$4.104 -11.1% 65,989 -$4.167 -$63.1 3,325 $0.063 $18.9 4.8%
20835 <= 27658 69,355 $54.815 2.4% $51.822 2.4% -$2.992 -5.5% 58,099 -$3.256 -$56.0 11,256 $0.264 $23.5 16.2%
27658 <= 35970 69,290 $93.498 4.2% $91.008 4.1% -$2.490 -2.7% 45,958 -$3.125 -$68.0 23,332 $0.635 $27.2 33.7%
35970 <= 47389 69,329 $131.922 5.9% $130.651 5.9% -$1.270 -1.0% 47,934 -$3.008 -$62.8 21,395 $1.738 $81.2 30.9%
47389 <= 62853 69,318 $189.261 8.4% $189.134 8.6% -$0.127 -0.1% 44,434 -$3.409 -$76.7 24,884 $3.282 $131.9 35.9%
62853 <= 83757 69,324 $248.543 11.1% $249.862 11.3% $1.319 0.5% 42,661 -$3.850 -$90.2 26,663 $5.169 $193.9 38.5%
83757 <= 119293 69,322 $383.902 17.1% $385.774 17.5% $1.872 0.5% 45,010 -$6.674 -$148.3 24,312 $8.547 $351.5 35.1%
119293 <= $ Infinity 69,323 $1,054.566 47.0% $1,034.798 46.9% -$19.768 -1.9% 41,656 -$49.764 -$1,194.6 27,667 $29.996 $1,084.2 39.9%
Totals 693,232 $2,241.849 100.0% $2,204.496 100.0% -$37.353 -1.7% 529,658 -$87.066 -$164.4 163,574 $49.713 $303.9 23.6%

Top Decile Decomposition: 90-95, 95-99, and 99+ :

119293 <= 159211 34,662 $288.771 12.9% $291.665 13.2% $2.894 1.0% 21,134 -$4.969 -$235.1 13,527 $7.863 $581.3 39.0%
159211 <= 350810 27,730 $388.767 17.3% $391.613 17.8% $2.846 0.7% 15,883 -$9.964 -$627.3 11,847 $12.810 $1,081.3 42.7%
350810 <= $ Infinity 6,931 $377.028 16.8% $351.520 15.9% -$25.508 -6.8% 4,638 -$34.831 -$7,509.2 2,293 $9.323 $4,065.8 33.1%

Maine Revenue Services

Economic Research Division

TOTAL TAX CUT FROM ABOVE -$37.353

ESTIMATE OF TAX REFUNDS THAT WILL NOT BE PAID OUT 6.000
---------------
ADJUSTED ACTUAL ESTIMATED NET TAX CUT TO MAINERS -$31.353