An Act relative to improving Massachusetts’ competitiveness and reduce the cost of living

This bill amends Massachusetts tax laws to lower the cost of living by increasing income tax thresholds and reducing rates for certain taxpayers. It raises the standard deduction for single filers from $3,000 to $5,000 and adjusts various income limits for married couples and heads of households to allow more people to pay less tax. The legislation also introduces a lower 5 percent tax rate on short-term capital gains and increases the exemption amount for estate taxes to $2 million. Additionally, it updates the state's income tax brackets and modifies how inheritance taxes are calculated for estates of people who die after July 1, 2023.