Tech tax opponents raise the heat on lawmakers

AP, via Philadelphia Examiner ^ | March 12, 2008 | Brian Witte

[Virginia Ridgerunner]

ANNAPOLIS, Md. - The Maryland Senate shot down a proposal to make room in the state's budget to repeal a highly criticized tax on computer services on Wednesday, but rising heat from the industry has lawmakers considering ways to soften the blow.

On a day when opponents rallied against the so-called "Tech Tax," Sen. David Brinkley, R-Frederick, proposed an amendment to the Senate's budget bill to make up for an estimated $214 million the tax is estimated to generate.

(snip)

"This was a bad idea from the start," Brinkley said. "The question now is what do we do ... How do we get ourselves out of this quagmire?"

(snip)

But Sen. Richard Madeleno, D-Montgomery, said last week's $333 million drop in estimated state revenues means the state needs to have more cash on hand, and that the amendment would leave "our fund balance in a very precarious situation."

"We know we're at the edge of a potential further economic downturn," Madeleno said. "To pass this amendment - and take this money out of our fund balance - would leave us with very little cushion, should there be further economic downturns during this year."

Brinkley's amendment failed after 26 senators voted against it and 19 supported it.

[Virginia Ridgerunner]

Typical Maryland libs can't put together the simple fact that when taxes go way up, revenues go way down. Their solution: more taxes.

[proxy_user]

Isn’t it now possible to provide computer services remotely from other states, and from other countries? I wouldn’t think they would be able to tax such services.

[CGTRWK]

God forbid state government tighten their belts on the spending side the way the rest of us are having to.

O’Malley talks about the painful sacrifices of cutting 10 million dollars here and 20 million dollars there, when what he really means is they’ll only hike the 09 budget 1.7 billion dollars (5.7%) and not the 2.5 billion he really wanted.

[Tolerance Sucks Rocks]

To hell with all the computer geeks! We need a cooooooooooo-shionnnnnn!

Maryland "Freak State" PING!