Posted on 11/08/2007 11:49:59 AM PST by JZelle
ANNAPOLIS (AP) — The Maryland Senate discussed significant changes to Gov. Martin O'Malley's budget-shortfall plan yesterday, a day after a Senate committee made his income-tax plan less progressive and reworked a broadening of the sales tax.
Senators spent the day asking questions and trying to understand the full ramifications of the complicated legislation that came before them.
Among the changes by the committee were reductions in new tax brackets Mr. O'Malley proposed for Maryland's wealthiest residents. Despite the change, Mr. O'Malley said he still thinks his proposals were "moving in the right direction."
The Senate committee balked at some of his tax-relief initiatives, Mr. O'Malley said, because of the uncertainty of slot-machine revenue, which would never turn up if voters reject slots in a November 2008 referendum. Mr. O'Malley also said the amended legislation still creates a more graduated income tax, instead of the mostly flat tax Maryland has now.
"The other thing that we also have to keep in mind is that when we get our fiscal house in order, it leaves open the potential for further adjustments to our tax code that could provide the relief that we had proposed," Mr. O'Malley told reporters.
The Senate Budget and Taxation Committee lowered an increased tax rate for individuals who earn more than $150,000 a year and married couples who make more than $200,000 from 6 percent to 5 percent. A new tax bracket for people who make more than $500,000 a year was reduced from 6.5 percent to 5.5 percent.
By the time Mr. O'Malley's proposals went through the committee, a property-tax cut the governor pushed to ease the tax increases had vanished entirely.
(Excerpt) Read more at washingtontimes.com ...
ping
GOVERNOR O’TAXHIKE
Oh, so you thought you’d see some property tax relief?
Maryland “Freak State” PING!
Watch out for slots next, then followed by casino gambling.
"The Land of Pleasant Living" isn't going to be that way much longer.
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