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Massachusetts Proposition 2½ limits:

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Question & Answer

Review the question and all answer choices

A

Sales tax

B

Annual property tax levy increases to 2.5%

Correct Answer
C

Income tax

D

Transfer tax

Why is this correct?

Option B is correct because Massachusetts Proposition 2½ specifically limits annual property tax levy increases to 2.5% plus new growth. This constitutional amendment directly restricts how much municipalities can increase property tax collections each year.

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