An Act creating a 'Chapter 62F calculations' study group of fiscal harms caused by excluding new local tax revenue from "allowable state tax revenue" calculations and other such calculations

This bill creates a study group to examine how Massachusetts calculates state tax revenue under Chapter 62F, specifically focusing on the exclusion of new local tax revenue. The group will review how taxes from local sources (like retail sales, meals, alcohol, and tobacco) and designated revenues (such as unemployment insurance) are included in state tax growth calculations. It will also analyze how factors like inflation and federal tax changes may overstate tax revenue figures used in funding formulas. The study group must report findings and recommendations to the legislature by June 30, 2026. This affects local municipalities and state funding formulas that rely on these tax calculations.