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Taxmaggedon in Annapolis

Taxmageddon in Annapolis

The Taxaholics in Annapolis have pulled it off again. They have voted to increase your taxes today despite protests by myself and other lawmakers who think Maryland should be living within its means and not spending its way to bankruptcy on the backs of working people. The income tax increases snatch an additional $200 million from the pockets of our citizens. 

Emails I received from two constituents really hit the nail on the head. The first taxpayer pleads for taxes not to be raised:

“everyone is stressed out! Nobody has any disposable income to buy things… We are down to the basics. Everyone that I have encountered have continually high credit card bills …”

A business owner writes these cryptic words opposing taxes:

“The governor and legislators of Maryland should be ashamed for even considering such a horrible plan.  It is difficult enough at this time to remain competitive in business with the high cost of living in this state. We are pricing ourselves right out of business!!!”

I believe the liberal leaders who forced these taxes through are out of touch with what is going on in the homes of most Marylanders. The Governor is especially clueless. Think about it. He hasn’t had to pay for a gallon of gas since he became Mayor of Baltimore. How could he have any understanding of families struggling with the rising costs of groceries, fuel and college bills? All of us have lost value in our homes and many faced layoffs or cuts in the past few years. I believe this is the worst possible time to raise taxes. Yet only 19 out of 47 of us in the Senate voted against higher income taxes. In the House of Delegates, 60 out of 141 voted no.

The argument used by Democrat Leadership for raising taxes is that it only affects a portion of Marylanders; those making over $100,000 a year or $150,000 jointly. But I say those are people who might own a small business and eventually hire people if they can expand and create jobs! A couple making $150,000 could be two teachers with children attending college. This is not about Warren Buffet folks…this is about the middle class.

The long term pain of this tax hike will be felt by all of us. It will give us an even worse reputation for being unfriendly to business. How is it that Virginia can find ways to balance its budget without increasing taxes and without alienating business? It can be done the way every family is doing it at their kitchen table when paying bills. Tighten the belt…don’t overspend…break the spending addiction!

Republicans offered many amendments that would have avoided tax increases and balanced the budget in this special session. But those plans were voted down.  Meanwhile, the O’Malley Administration has continued to spend more and more. The budget just approved today is $938 million more than last year’s budget. As our structural deficit grows, do we want to end up like California where that state faces $15 billion in debt?

It’s important for voters to see the pattern of increasing taxes over the last five years by those who have a stranglehold on power in Annapolis. Here are just some of them:

  • The sales tax was raised from 5 cents to 6 cents on the dollar in 2007
  • The income tax on corporations went up from 1.25 percent to 8 percent in 2007
  • Income tax rates were raised from 4.75 percent up to 5.5 percent in 2007
  • A millionaire’s tax was put at 6.25 percent in 2008 for a two year period
  • MVA titling taxes rose from $23 to $50 in 2007
  • MVA titling taxes rose from $50 to $100 in 2011
  • MVA sales taxes went from 5 percent to 6 percent in 2007
  • Recordation and transfer taxes increased in 2007
  • Amusement tax added to bingo games in 2007
  • Doubling of the cigarette tax to $1 a pack in 2007
  • Alcohol tax rose from 6 to 9 percent in 2011
  • Tripled the MVA dealer processing fee from $100 to $300 in 2011
  • Doubled vanity plates fee from $25 to $50 in 2011
  • Raised hospital assessment rates in 2011
  • Doubled the flush tax from $30 to $60 in 2012
  • Doubled the birth certificate fees from $12 to $24 in 2011
  • Increased tolls in 2011

How can Marylanders fight back? They can remember this at the polls on Election Day and toss the Taxaholics out!

Rene de Pontbriand May 17, 2012 at 12:58 pm
Your constituents who wrote in could maybe move to Greece, another place where the people want it all but refuse to pay for it.
We have short-staffed our schools, police and fire departments (all of those poor volunteer fire department personnels who are being "thanked" by the rest of the state with diminished resources for protecting us), trashed our roads and bridges. These are basic duties of both state and local governments; all of them help protect this state from turning into chaos. We want growth, we want better-payng jobs---we all do---and that takes providing a quality infrastructure, to which we all need chip in as best we can (NOT "as least we can"). As for the "taxes" you cite, most are user-fees paid only by those needing those specific services, or are "health cost returns" fees, e.g. tobaco tax. The "burden" of tolls is to maintain our roads---I have no problem with that, especially since it is the only way of capturing road-use charges from out-of-state visitors. Overall, you do not mention how long it had been since any of these taxes had been adjusted. Again, you are welcomed to go to Greece and see what no-tax policies have wrought in that out-of-balance economy. In my view, we should pay our debts, cut programs that do not produce for us even after meaningful adjustment, and continue improving our watershed, roadways, and educational system---all elements needed to attract and keep our hard-working Marylanders right here.
Nancy Jacobs May 17, 2012 at 03:26 pm
An income tax increase, which is what we are talking about with regards to this most recent session is not pay for service. I agree that roads and bridges must be maintained, but the Governor's idea of adding a penny sales tax to the gas tax didn't fly with any lawmakers this year with the price of gas so high. I have heard about some other creative ideas for funding these projects...like letting voters vote to fund individual projects at the polls, or forming a infrastructure bank. We will be debating creative ideas to address roads in January 2013, the next regular general assembly session. Teachers are so important, yes, but did you know in this latest budget that the new State School Superintendant is granted 15 thousand more in salary than Dr. Nancy Grasmick was making when she retired after decades of fantastic service. There are many elements that the public is not aware of when there are generalizations bandied about by the public unions about how goverment workers are harmed unless taxes are raised. Of course we care obout our teachers and volunteer firefighters. I would never feel otherwise!
CB9678 May 17, 2012 at 04:56 pm
Can we vote weather to fund legislative pensions or benefits?
George Helm May 17, 2012 at 05:32 pm
CB9678, Simple answer, not a chance in yours or mines lifetime!
George Helm May 17, 2012 at 05:37 pm
Nancy, I also remember the sales and usage tax certificate went to 300.00 from 100.00 and was proposed to 1000.00 which probably will happen down the road. I had a small business at that time and immediately closed it down! Good luck against Dutch, Mr. Eminent Domain, Ruppersburger. As an old member of South Shore Tennis Club, you have my vote!
Terry May 17, 2012 at 08:04 pm
You missed a couple of points.....many businesses, including some industries, have moved out of Maryland in the last few years because of fees/taxes (one in the same) imposed by Annapolis.
There are many more people that have "fled" the Peoples Republic of Maryland after retirement, living on fixed incomes, for the same reasons. When there is a certain group of committee heads in Annapolis, so-called elected officials to represent We The People, that stuff good legislation in the back of their files, or desk drawers because they think that the know what is good for the people and never bring it to light, they are NOT representing the people. They are playing to special interest groups to make themselves rich. We have the same problem in the U.S. Senate. Have you ever seen a middle income politician that is not rich? I haven't. Hopefully, the people in Baltimore City, Baltimore County, Anne Arundel County, Prince Georges County will wake up and elect people Like Senator Jacobs, who truly does, and always has cared about We The People!
George Helm May 18, 2012 at 01:49 am
Correction, I meant West Shore Tennis Club. Can you say senior moment!

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