AUGUSTA — Republican legislators are criticizing Gov. Janet Mills for keeping Maine from immediately conforming to new federal tax laws, saying it will hurt working Mainers.

“Instead of taking this opportunity to provide much-needed relief to Maine citizens, our governor has chosen to continue with her unsustainable tax and spend mentality,” Senate Minority Leader Trey Stewart (R-Presque Isle) said in a statement.

At issue are tax cuts included in the One Big Beautiful Bill Act, which eliminates taxes on tips and overtime and increases the standard deduction.

Mills’ spokesman Ben Goodman said all of the federal tax cuts will eliminate more than $400 million from the state budget.

“Given this, the governor has determined that conformity requires the Legislature to weigh in on these budgetary impacts when it returns next session,” Goodman said.

Sen. Bruce Bickford (R-Auburn) says he hopes lawmakers decide to conform to federal tax cuts that will lower costs for many Mainers. (Spectrum News/Susan Cover)
Sen. Bruce Bickford (R-Auburn) says he hopes lawmakers decide to conform to federal tax cuts that will lower costs for many Mainers. (Spectrum News/Susan Cover)

In a letter sent last week to State Tax Assessor Jerome Gerard, Mills emphasized that the pause might be temporary, and that the Legislature could decide to “retroactively conform” to some of the changes.

In addition to waiting for lawmakers to return in January, Mills said the state needs more revenue data to decide how it will respond to the federal tax changes.

“I wish to stress that this is not the end of the discussion of conformity to the new federal law,” Mills wrote.

Sen. Bruce Bickford (R-Auburn), a member of the Legislature’s Taxation Committee, said married couples, senior citizens and tipped employees will all pay more in taxes if Maine does not conform.

He hopes that when lawmakers come back into session early next year, they will decide to conform with the federal tax cuts. The November 2026 election, in which all 186 legislative seats go back up for grabs, might help convince Democrats to agree with the Republican stance, Bickford said.

“We got to remember that the governor proposes, the Legislature disposes,” Bickford said. “The governor can say all she wants about nonconformity. She might not want to conform but if the Legislature decides to conform, she can veto it or sign it into law.”