Gov. Mills offers compromise to give tax break to 99% of business loan recipients

Garret Martin, executive director of the Maine Center for Economic Policy, said the governor’s proposal creates a tax loophole and costs state revenue that could be better spent on public health, schools or struggling Maine families. Businesses can already write off grant revenue on payroll and other legitimate expenses for a tax break, he said.

“Allowing businesses to claim another tax cut on the same funds would set a horrible precedent for tax policy in Maine,” Martin said. “Given the challenges that lie ahead and continued underinvestment in Maine’s schools, people and communities, Maine can ill-afford the PPP double tax cut.”

Click here to read the full story, first published February 9, 2021, in the Portland Press Herald.