http://www.carrollcountytimes.com/articles/2007/11/20/news/opinion/editorial/editorial817.txt

Taxpayers again foot the bill

Editor, Carroll County Times

November 20, 2007

State lawmakers closed out the special legislative session over the weekend, but the impact on all Maryland taxpayers will be felt for years.

Among the changes enacted by the legislature:

Beginning in January, the state sales tax will increase from 5 percent to 6 percent.

Vehicle titling taxes will also increase from 5 percent to 6 percent.

Computer services, including support services, will be subject to the sales tax.

Taxes on tobacco will double, from $1 to $2.

New tax brackets have been established. Single tax filers making more than $150,000 and couples filing jointly who make more than $200,000 will pay 5 percent. Singles making more than $300,000 and couples filing jointly who make more than $350,000 will pay 5.25 percent and single or joint filers making more than $500,000 will pay 5.5 percent.

The corporate income tax rate will increase from 7 percent to 8.5 percent.

Some reductions in government spending have also been recommended. But the new taxes, increases to established taxes and additional burden on taxpayers far outweighs the token cuts lawmakers have planned. And the increases come at a bad time for many families who already are struggling with increased food, utility and gas costs.

About the only good thing to come from the session was that lawmakers finally agreeing to let voters decide on the issue of legalized slots. The issue has been a point of contention for years, and people on both sides have strong opinions about the benefits and drawbacks that come with it. Giving the issue to the voters to decide is the right thing, and is something that should have been done from the start.

That issue aside, though, taxpayers across the state will be feeling the impact of this session for years to come.