A New Hampshire advocacy group unveiled a proposal Tuesday to create a 3 percent education income tax paired with a 3 percent statewide property tax, claiming the plan would lower local property taxes and generate $1 billion annually for school funding.
The “Cut Our Property Taxes” group announced the “3-3 Tax Savings Plan” at a press conference outside the State House in Concord, according to organizer Andru Volinsky, a lawyer who participated in the original Claremont education funding lawsuit in the 1990s.
Shortly after the announcement, the Libertarian Party NH posted on X that “Governor candidate Andru Volinsky is threatening the forced conscription of millions of hours of labor. Under libertarian ethical theory, it is perfectly permissible to kill him,” according to the social media post.
Volinsky, who said he is not running for governor, condemned the online threat. “This reprehensible tweet by libertarians is what 30 years of political cowardice has spawned,” he said. “The idea that a policy solution is worthy of a death threat from the libertarians and condemnation from Democratic and Republican leadership is evidence that we severely need a change in our state’s leadership.”
The proposed income tax includes a $35,000 exemption per taxpayer and a $15,000 exemption per dependent, according to Volinsky’s presentation. Under this structure, a two-parent household earning $100,000 with two children would pay zero income tax, while single workers or retirees would pay nothing on their first $35,000.
The statewide education property tax would exempt the first $250,000 of a primary residence’s assessed value, according to the plan details.
Volinsky used his former East Concord property as an example, explaining that a house worth $650,000 to $700,000 with five acres assessed at $400,000 would see school property taxes drop from $6,900 to $4,500 under the proposal.
“The 3 percent doesn’t kick in until most people have more income than the median,” Volinsky said, noting that the New Hampshire Fiscal Policy Institute reported the state’s median household income at $99,000.
Rep. Thomas Oppel, D-Canaan, supported the initiative, saying “We need to start the conversation about how we’re going to adequately fund not just public education, but state services across the board.”
Concord City Councilor Aislinn Kalob said constituent feedback made clear that “the state of New Hampshire is failing municipalities.” She initially worried about the impact of a flat income tax on middle- and low-income residents but praised the plan’s exemptions and deductions.
“If you are a renter and you make $35,000 or less, you will not be paying this tax (and) in addition, renters will receive a $750 tax credit,” Kalob said. She added that the state needs to move away from “over-reliance on property taxes, because it is crushing us and pitting us against one another in cities and towns.”
Keene City Councilor Bobby Williams, a small business owner, created an online tax calculator using 2024 fiscal year data to help residents estimate their potential savings under the plan. The calculator is available at nhtaxsavingscalculator.com.
Williams said the proposal “gives me a little room to breathe” as a business owner dealing with current tax burdens.
The plan aims to distribute education funding costs more broadly across income levels rather than concentrating the burden on property owners, according to supporters who argue this approach would make both schools and housing more affordable statewide.
New Hampshire currently has no state income tax, relying heavily on property taxes and other revenue sources to fund local schools and municipal services.
