New Hampshire Fiscal Policy Institute: An Overview of New Hampshire’s Tax System
ITEP Work in ActionDue in large measure to the recent national recession and the continuing struggle to recover from it, New Hampshire will face a budget shortfall on the order of several hundred million dollars over the upcoming FY 2012-2013 biennium. The source and size of that deficit should compel state policymakers to use a balanced approach in resolving it, an approach that is not limited simply to reductions in state expenditures, but one that contemplates meaningful changes in the state’s tax system as well.
An Overview of New Hampshire’s Tax System explores some of the recent trends in tax collections in New Hampshire, provides a brief description of each of the state’s eight major sources of tax revenue, and highlights several characteristics of the state’s tax system that can help guide policymakers in devising a response to the fiscal challenges now before New Hampshire.