Update: The Senate passed SB590 with amendments that will delay the implementation of the tax break for two years. The bill was also amended to
require the state Department of Assessments and Taxation to do an audit
of the personal property tax to make sure businesses were complying with
the law. The bill never received a vote in the House and did not pass during the 2015 session.
At NFIB’s Small Business Day, Governor Larry Hogan announced HB 480 / SB 590, the Small Business Personal Property Tax Relief Act of 2015. Once signed into law, this legislation will eliminate the personal
property income tax for businesses that have less than $10,000 in
personal property. Under current law, all Maryland businesses are required to pay taxes on
the value of personal property such as inventory, office furniture,
fixtures, equipment, and plant machinery. It’s estimated that more than 70,000, or one-half of all Maryland’s businesses, would benefit from passage of this legislation.
Media
- The Washington Times | Larry Hogan seeks to end property tax on Maryland small businesses
- Maryland.gov | Governor Hogan Announces Tax Relief For Small Businesses
- WBAL | Hogan Proposes Business Tax Exemption
