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Patrick Signs Sales Tax Increase, Sends Back $147M In Vetoes

The sales tax in Massachusetts will increase 25 percent on August 1, now that Gov. Patrick has signed a state budget bill for the fiscal year that begins Wednesday.

The budget will also let cities and towns raise money from local taxes on meals and hotels. But all of the new revenue — maybe $1 billion or more — will not offset the billions of dollars in cuts residents will see in virtually every program that receives state funding.

The sales tax increase became a political football in the spring, with lawmakers saying they needed it to avoid even deeper budget cuts, and Gov. Patrick saying he would veto it unless the legislature sent him meaningful pension, ethics and transportation reform bills.

This program aired on June 30, 2009. The audio for this program is not available.

Headshot of Martha Bebinger

Martha Bebinger Reporter
Martha Bebinger covers health care and other general assignments for WBUR.

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