Skip to comments.Leggett Offers Alternative To O'Malley Tax Proposal
Posted on 11/01/2007 7:13:34 AM PDT by 3AngelaD
Montgomery County Executive Isiah Leggett will present an alternative personal income tax plan to Maryland lawmakers today that would tax the state's highest earners at a rate one percentage point lower than Gov. Martin O'Malley has proposed. Lawmakers from Montgomery have voiced concern that O'Malley's proposal to redistribute the tax burden to Maryland's most affluent residents would affect Montgomery more than any other jurisdiction and threaten the economic interests of the state's largest and wealthiest county....
Under Leggett's alternative, single filers reporting taxable income above $500,000 and joint filers reporting a combined taxable income above $1 million would be taxed at a 5.5 percent rate. In O'Malley's plan, high-end earners would be taxed at a 6.5 percent rate. Leggett's plan would create seven brackets, compared with five under O'Malley's proposal, with tax rates starting at 2 percent...
Under the proposal by O'Malley (D), the wealthiest residents in Montgomery would pay an almost 10 percent rate, when the county's 3.2 percent levy is factored in. This would surpass Virginia's top rate of 5.75 percent and the District's top rate of 8.5 percent, which Leggett and Montgomery lawmakers fear would put their county at a competitive disadvantage...But not all Montgomery legislators embrace the...alternative. Del. Heather R. Mizeur (D-Montgomery) said that...her "top priority is not making sure rich people aren't going to have to pay extra taxes."
(Excerpt) Read more at washingtonpost.com ...
Needless to say the real estate folks are up in arms about it also.
And raising the cigarette tax by another $1 will sure help all those low income people that decided to vote for party instead of stand. People that voted for O'Malley are getting their just deserts in my opinion.
Perhaps there are lots of teachers and other state/local government workers in Montgomery County. In 2006, Maryland passed a 30% increase in defined benefit pensions for teachers, retroactive to 1998. Billions for government workers, pain for everyone else. Tax increases for government pensions and health care are coming to a state near you.
Forgot about the home purchase tax. Another nail in Maryland’s coffin, where there already is a real estate crunch.
Don’t blame me; I voted for Ehrhead.
Maryland “Freak State” PING!
Would this tax be on new homes or all homes?
If O’Malice is merely taxing HOA fees, I have nothing to worry about, since I have no People’s Republic of Homeowners Government where I live.