Massachusetts Gov. Maura Healey is opposing a ballot initiative that would lower the state’s income tax rate from 5% to 4% over three years.

During a Sunday appearance on WCVB’s “On the Record,” Healey said she does not support the proposal, which could appear on the 2026 ballot.

“No,” she said. “Understand if that ballot question goes through and is approved, that's going to be a huge cut to our budget.”

Reducing the rate to 4% would lower annual state revenues by between $4.2 billion and $4.8 billion, according to estimates from the Massachusetts Department of Revenue cited during State House budget discussions.

Healey warned the impact would be significant.

She claimed 65% of all state education funding could disappear, along with a significant chunk of state funding for cities and towns.

“It's going to be very, very, harmful, and that's why it doesn't make sense,” Healey said.

Healey rejected the argument that lowering taxes would make Massachusetts more affordable.

“All the free school meals, the free community college, making financial aid larger for people in Massachusetts, all of these things are going to go away,” Healey said. “That doesn't make Massachusetts more affordable.”

“It doesn't make sense for residents, it doesn't make things more affordable, and it actually hurts business interests because you're not going to see the investments that we've been able to make,” she added. “I really want the public to understand how catastrophic this would be to Massachusetts.”

The initiative has cleared its first hurdle, with organizers submitting 78,301 signatures. After certification, the Legislature has until May 5, 2026, to act. If lawmakers decline, supporters must collect an additional 12,429 signatures to place it on the November 2026 ballot.

Public polling has shown strong support for the measure. A Suffolk University/Boston Globe poll released in November 2025 found 67% of respondents supported lowering the income tax rate to 4%, while just 23% opposed the idea.

Republican gubernatorial candidate Mike Kennealy supports the proposal.

“This November, while you’re voting out Governor Healey, you’ll also have the opportunity to vote on a ballot question to lower the state income tax by 20%. I’ve already announced I’ll be voting ‘Yes’ for the tax cut,” Kennealy said in a Facebook post. “Healey just announced she’s opposing the tax cut, making wild, unsupported claims about the effects on education funding and local aid.”

Meanwhile, New Hampshire Gov. Kelly Ayotte recently contrasted her state’s tax approach with that of Massachusetts.

“Massachusetts is handing out millions in taxpayer dollars to stop companies from fleeing north, and we welcome them with open arms, not big giveaways like the Bay State doles out,” Ayotte said in her State of the State address earlier this month. “The simple fact of government is that government loves to spend your money, and raising taxes only ensures that the government gets more of your hard-earned money. That’s it.”

With the 2026 election approaching, the debate over taxes and state spending will likely intensify.