The legislature will now be responsible for determining where to make the cuts in the state budget that the tax reduction will force.

Question 5 would have added a new patients bill of rights against insurance companies, limited the spending of insurers on non-health services like government lobbying and attempted to bring a universal health care system to the state.

Insurers had poured money into the ultimately successful campaign to defeat Question 5. The committee organized to oppose the question raised $4.8 million to defeat the measure, mainly from a handful of the state's largest insurers. The measure's supporters raised less than $100,000.

Those opposed to Question 5 flooded the airways with pleas to vote against the measure. While they said the question's framers had good intentions, they said the devil was in the details.

Opponents argued the proposal was poorly worded, would bankrupt insurers and hospitals and drive up Massachusetts' already high medical costs. Doctors or other professional came out on both sides of the question.

With 77 percent of precincts reporting as of 1 a.m., 53 percent of voters opposed Question 5. The Associated Press projected the final total would show a loss for Question 5.

In the voting on other ballot initiatives, voters approved a relatively inexpensive increase in the tax benefit for charitable contributions. However, it appeared on early returns that a different proposal to provide tax credits for car tolls and car excise tax would be rejected.