Lawmakers in Maryland’s House of Delegates on Friday introduced a tax relief package that would direct about $300 million over five years to working and middle-class families, in part by reducing the sales tax by the state on products like diapers, car seats and diabetic care products.
House Speaker Adrienne Jones made the announcement along with other House leaders and delegates who sponsor the bill. The speaker said that despite federal assistance to deal with the impact of the COVID-19 pandemic and the record amount of state assistance approved last year, families are still struggling to make ends meet and get basic necessities.
“As commodity prices continue to rise, it becomes increasingly difficult for working family budgets to keep up with rising costs,” said Jones, a Democrat from Baltimore County. “Clearly any extra money we can put back in the pockets of struggling Marylanders and increase their budgets makes a difference.
According to one measure, the state’s 6% sales tax would not apply to baby products like diapers, car seats and bottles. Another proposal exempts dental hygiene products such as toothbrushes and toothpaste from sales tax.
Sales tax would also not apply to diabetic care products, under another bill in the package.
“Reducing the sales tax on medical devices and diabetic care products will give Marylanders on fixed incomes and those providing in-home care to family members critical relief on products that can be extremely expensive. “Del said. Vanessa Atterbeary, a Democrat from Howard County who chairs the House Ways and Means Committee.
Of the. Eric Luedtke, a Democrat from Montgomery County, is sponsoring a bill to create a state match with the federal work opportunity tax credit for employers who hire and retain workers from underrepresented communities who constantly fight for job opportunities.
Target groups for the credit include people who receive temporary assistance for needy families, veterans, long-term unemployed people, people whose families receive benefits from the Supplemental Nutrition Assistance program, as well as residents who are certified in vocational rehabilitation with a physical or mental disability. .
“This program is proven to break the cycle of unemployment for those who participate in it,” said Luedtke, the House Majority Leader.
Sales tax exemptions, which would be permanent under the law, would apply to everyone. The work opportunity tax credit measure would apply to the 2022 to 2028 tax years.