Maryland 2008 Legislative Agenda

Taxes on Services in Maryland

Issue Overview: Maryland is faxing a structural deficit. Some lawmakers are looking for new tax revenue, from corporate tax increases to the expansion of sales tax to services. The new taxable services would include vehicle repairs, parking, storage, tax preparation, direct mail, printing brokerage, employment agency and temporary help, among many others. The costs to business associated with this legislation are enormous.   

NFIB Position: NFIB strongly opposes this legislation.

Issue Status: Computer Services: During the Special Session the Maryland General Assembly passed and the governor signed an expansion of the sales tax to computer services. NFIB opposed this tax and will support legislation to repeal the tax on computer services.

The House Ways and Means Committee will hold hearings on March 12 on all legislation seeking to repeal or restructure the computer service sales tax. The Senate has not scheduled hearing dates for the computer service sales tax legislation. NFIB will testify in support of full repeal of the computer service sales tax.