Massachusetts is experiencing a significant outflow of taxpayers, resulting in a loss of $3.9 billion in adjusted gross income in 2022, making it the fifth state in the country for income loss due to domestic migration according to the latest IRS data. The trend of taxpayers fleeing Blue states for Republican-controlled states, such as Florida and Texas, has continued even after the pandemic. Massachusetts is feeling the effects of this migration crisis, with tens of thousands more people leaving the state than moving in. The shrinking population is attributed to factors such as high taxes and a lack of affordable housing, prompting younger individuals, recent college graduates, and those starting families to seek lower costs of living elsewhere.
A report released by Boston Indicators highlights the impact of out-migration on the state’s economy, as well as the strain it is placing on the shelter system. The MassGOP has criticized the Democratic party’s regulations on development and high taxes as contributing to the exodus of taxpayers, calling for a reduction in taxes and regulations to make Massachusetts a more affordable and attractive place to live. The data underscores the need for policy changes to address the ongoing trend of taxpayers leaving the state in search of better economic opportunities and lower costs of living.
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