Tax Increases Off The Table In Maryland For Now | WAMU 88.5 - American University Radio

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Tax Increases Off The Table In Maryland For Now

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In Maryland, state lawmakers are gearing up for the legislative session in Annapolis, which starts in less than two weeks. Given the massive budget deficit facing the state, one of the biggest questions to be answered during the session is whether taxes be raised and, if so, which ones. The early signs point to no tax increases.

Senate President Mike Miller has said several times it appears his colleagues are not interested in raising taxes because of the bleak economy.

Another reason for that: a recent report from a state commission that looked at business taxes in Maryland.

The report recommended against something called "combined reporting," which targets larger businesses that don't pay a full share of state income taxes. Gigi Godwin, the president of the Montgomery County Chamber of Commerce, applauded the finding.

"To their credit, they looked to see whether it would fix the state's problems and discovered that in fact it would not be a reliable source of revenue...And certainly would not create a reliable or a predictable business environment," Godwin says.

One tax that will be looked at again is the state alcohol tax, which health care advocates have longed push for to be raised to pay for health care programs. Lawmakers have routinely voted down any increase in the past.

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