Proud to have publicly testified in support of this legislation. Below is a transcript of the written testimony.
Joint Committee on Revenue
Testimony in support of H.1582, An Act establishing a college tuition tax deduction
Chairperson Michael Brady, Chairperson Jay Kaufman, and members of the committee,
The Teenage Republicans of Massachusetts and the Youth Conservatives of Massachusetts strongly encourage the approval of H.1582, an Act establishing a college tuition tax deduction.
House Bill 1582 establishes a college tuition tax deduction that allows the individual (whether it be student or guardian) paying the tuition to deduct 50% of the cost of in-state public college tuition from their income.
As we high school students gear up for college, affordability and possible debt linger on our minds. We all value our education and seek to extend it to the college level, but many students our age across the Commonwealth simply cannot afford to attain that high level of education. We believe that government should strive to make a public college education cheaper through a bipartisan approach of tax deductions, not free tuition.
At the core, House Bill 1582 is a reward for students who choose to invest in their education and future. Students that choose to attend the public institutions in Massachusetts should be rewarded because they are generating more revenue for the state by staying here. While this tax deduction does not dramatically lower the cost of higher education, it still has a positive impact. For example, the current in-state tuition at UMass Amherst is $15,411 per year. As a result of this tax deduction, the individual paying tuition would save $392.98 per academic year, which would total $1571.92 over four years if there are no changes in tuition costs.
This tax deduction can be a deciding factor in choosing a public school versus a private school meaning there is a possibility that it would bring more revenue to the state. This bill incentivizes students to stay in-state for higher education, thus further pushing Massachusetts’ education system higher than it currently is (ie. makes it more competitive and successful).
Another positive effect of this bill is that the money that is saved by the students will either be put in the bank or reinvested in the economy while providing the students or guardians with more monetary flexibility without reducing any funding going toward the school directly.
Ideally we would support the 20% college tuition tax credit (S. 1590) to further enhance economic flexibility and college affordability, but we understand that in the budget’s current situation this credit would result in too much lost revenue for the state.
Ultimately, this bill serves as a bipartisan compromise that can appeal to those who want to provide relief from college costs as well as those who want to lower taxes.
Today more than yesterday, and yesterday more than the day before, students and their families are burdened with student debt. It is often reflected in our friends, our families, our neighbors, and our communities. Student debt has become a fundamental component of society, and therefore these struggling families ask you as legislators to aid them in a reasonable manner.
This bill incentivizes use of our public schools, allowing maintenance and growth, keeping Massachusetts at the forefront of education. As our schools continue to collect the unaffected cost of tuition, they will be able to further invest in on-campus developments.
This bill drives achievement, and achievement is bipartisan. We kindly ask for support of this bill regardless of political affiliation so that we can deliver common sense higher education reform to the people of the Commonwealth.
Sincerely, Mike Brodo, Brandon Fontaine and Samuel Leone