As it is right now, after a period of time, if you don’t use it, fees start to be deducted monthly. Someone gets the money. I guess they figure, “why not us?”
Democrat tax policy explained as succinctly as I've ever seen it explained.
That's not technically correct. No additional money changes hands. Your $25 gift card is now just worth $20.
The retailer got their $25 when you purchased the card. They don't get more from you, except that they now only have to sell you $20 worth of stuff. This will (very loosely) show up as a gross income of an additional $5, which will be taxed at some rate. Md. is just proposing that the rate be 100%.
Let's say you don't ever use the card. Why should the retailer have to give that money to the state because you didn't use the gift card?
Except that practice is illegal in a few states, including Connecticut.