Great discussion, but there is one thing that our income tax proponents never mention. If NH instituted a income tax, the legislation would give NH residents who work in Mass and Maine credit for the tax they pay where they work. Prehaps 1/2 of the working residents of this state work in these other states, so what happens. The NH people who live in the central and northern parts of the state will pay all of the tax burden of the state. You don't think so, well look at the tax laws in states with income taxes, they all give credit for taxes paid in other ajoining states. Another interesting point is that with out credit for income taxes paid to ajoining states, what chance do we think an income tax has of passage in the southern NH.
We would be adding 2-5% to the income taxes they already pay to Mass.
That government which governs least, governs best (and taxes least).