Taxes take permanent holiday in N.H.
Many people who have come to know me as the governor of New Hampshire understand that I tend to be a little quirky. I live primarily on chocolate chip cookies and coffee, and I’m prone to singing Katy Perry songs at the top of my lungs in the car. I’m an unapologetic fan. So I was taken aback last year when I heard Katy Perry’s song “Every Day Is a Holiday,” and frankly … it was terrible. A rare miss by one of my favorites, but hey, we all have a bad day sometimes. My disappointment in her song was rooted in the fact that as governor of New Hampshire, I know what a holiday is like — and her song missed the mark. When it comes to economic opportunity, environmental stewardship or just our “Live Free or Die” quality of life, Every Day Is a Holiday in the great state of New Hampshire.
This weekend Massachusetts residents will get a brief taste of the New Hampshire experience. Why? Because for two very brief days, Bay Staters will be able to experience shopping the way those of us who live in New Hampshire do every day — sales tax free.
It is no surprise there are limits on what you can take advantage of during the sales tax holiday in Massachusetts. If you’re looking to make a substantial purchase — anything over $2,500 — you’re out of luck. The state will still tax you. Hoping for tax-free alcohol? You’ll be taxed.
Gov. Charlie Baker deserves a lot of credit for insisting on — and delivering — a permanent sales tax holiday in Massachusetts, despite objections from lawmakers. The nearby states of Maine, Vermont and Rhode Island weren’t as lucky. In those states, the citizens asked for a Sales Tax Holiday and got Big Government Festivus instead. Pitiful and unfortunate.
My point really isn’t to bash Massachusetts or other nearby New England states. Instead, my job as governor of the great state of New Hampshire is to advocate for — and promote — the wonderful opportunities that await in the Granite State. It’s a sales tax holiday in New Hampshire 365 days a year. Anything from new cars to clothes, big screen televisions and everything inside one of our beautiful state-run liquor stores are sales tax free. On top of that — we don’t have an income tax or capital gains tax.
Elsewhere in New England, every other state hits you hard with taxes at the checkout lane. In New Hampshire, we aren’t looking to take any more of your money. We’re looking for you to spend it, which helps our small businesses and boosts local economies. That’s the whole point of a sales tax holiday, after all. So why limit it to just two days a year?
Other states always seem to have an excuse to tax you. Politicians will say, “Times are good so people can afford the tax hike,” or “Sorry, times are bad and the government needs more money to operate.” Either way they stick it to you and hope over time their citizens get used to it. That’s a terrible approach and something we won’t do in New Hampshire. We believe that the government’s job is to create doors of opportunity for you, your family and your business. Then we get out of the way and let individuals have control of their path to success.
Democratic critics of sales tax holidays often say that any break, however small, will hurt state revenue projections, and thus, limit state services. I am here to tell you that is completely false. Despite not having a sales, income or capital gains tax, New Hampshire is bringing in historic revenues. And how did we do it? We lowered business taxes — which are currently at their lowest this century, allowing businesses to reinvest in their employees. Today in New Hampshire, more people are working than ever before, we have the lowest poverty rate in the nation, and some of the highest median incomes in the country. We are proud that our economic success story has become the envy of the Northeast because in New Hampshire, when it comes to taxes, Every Day Is a Holiday, and we sell it better than anyone.
Turns out even Katy Perry could take a lesson from the Granite State.