Maryland panel exploring lower taxes for businesses

Maryland panel exploring lower taxes for businesses

A bipartisan panel is looking at ways to improve the business climate in Maryland, something that both Governor Larry Hogan and state Democratic lawmakers would like to do. Lowering the tax rate for businesses is a likely focus this year, reports the Baltimore Sun.

The Maryland Economic Development & Business Climate Commission has been charged with improving the stateês business climate, a goal on which both Republicans and Democrats agree. One possible change would be reducing the corporate tax rate of 8.25 percent. (Virginia recently lowered its corporate tax rate.) But it could help business more especially small businesses to make changes to the personal income tax rate. Many small businesses pay taxes at a personal rate on their business profits and also pay high salaries to keep their business competitive.

Another possible change: tax multistate corporations only on sales rather than on sales, payroll and property.

The commission is expected to issue a report with its recommendations this month. The report would not need to offer suggestions for making up lost revenue; thatês up to state legislators.

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