Monday, November 8, 2010

Massachusetts Tax Repeal taps Drug, Alcohol Abuse Funds

Boston Herald

When Massachusetts voters decided to eliminate the sales tax on alcohol, they also eliminated a main source of funding for the state’s drug and alcohol abuse programs.

Now lawmakers and advocates are scrambling to shore up money for the programs in the face of an ongoing budget crunch.

Lawmakers last year voted to apply the state’s 6.25 percent sales tax rate to liquor sold in stores to bring in an extra $110 million annually to help pay for substance abuse treatment Massachusetts.

Liquor store owners and other opponents of the tax dumped more than $3.7 million into an advertising campaign to persuade voters to repeal the levy.

Supporters of the tax say that it was designed to help shield critically needed detox beds and other detox programs from the ups and downs of the budget cycle.

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