Bill > LD1047

This bill introduces an additional 4% tax on capital gains income that exceeds certain thresholds, depending on an individual's tax filing status. Specifically, for single filers and those married filing separately, the 4% tax will apply to capital gains above $250,000; for heads of households, the threshold is $375,000; and for married couples filing jointly or surviving spouses, the threshold is $500,000. The new tax will take effect for tax years beginning on or after January 1, 2025, and will be imposed in addition to existing tax obligations. Capital gains are profits realized from the sale of investments or assets, such as stocks, bonds, or real estate, and this bill aims to generate additional tax revenue from higher-income earners by levying an extra tax on substantial capital gains income. The tax is structured to provide different income thresholds based on filing status, which helps to create a graduated approach that takes into account different household financial situations.

Budget and Finance

https://legislature.maine.gov/legis/bills/display_ps.asp?LD=1047&snum=132