Maryland income and taxes

Gross rent includes contract rent and tenant-paid utilities. Rental protections, assistance, and housing supply concern components of rental-market conditions; they do not set Maryland’s median rent. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Median gross rent. This record’s connection to the topic does not establish an effect on the measured result.

Prohibiting the Community Development Administration from requiring the use of long-term tax-exempt bonds to qualify for Rental Housing Works loans or otherwise conditioning the award of financial assistance under an affordable housing program administered by the Administration on the use of any other Administration resource.

Wages and cash benefits can be components of household money income. Census income is measured before taxes, so tax relief alone is not an increase in this statistic; the provision does not determine the statewide median. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Median household income. This record’s connection to the topic does not establish an effect on the measured result.

Increasing the State minimum wage rate to $18 for calendar year 2028 for large employers and for calendar year 2029 for small employers; and increasing, beginning January 1, 2029, and January 1, 2030, for large employers and small employers, respectively, the State minimum wage rate in effect for certain periods of time based on annual growth in a certain consumer price index, as determined by the Commissioner of Labor and Industry.

Wages and cash benefits can be components of household money income. Census income is measured before taxes, so tax relief alone is not an increase in this statistic; the provision does not determine the statewide median. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Median household income. This record’s connection to the topic does not establish an effect on the measured result.

Establishing that every person, as a central component of an individual's right to liberty and equality, has the fundamental right to be paid at a wage rate that is at least equal to the State minimum wage rate set by law without regard to tips that the individual receives; and prohibiting the State from, directly or indirectly, denying, burdening, or abridging the right unless justified by a compelling State interest achieved by the least restrictive means.

Wages and cash benefits can be components of household money income. Census income is measured before taxes, so tax relief alone is not an increase in this statistic; the provision does not determine the statewide median. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Median household income. This record’s connection to the topic does not establish an effect on the measured result.

Establishing consumer protections related to service fees charged by food service facilities; specifying the State minimum wage rate; prohibiting, beginning July 1, 2028, employers of tipped employees from including a tip credit amount as part of the employees' wages; allowing a subtraction under the State income tax for certain qualified tips received by certain individuals; and allowing a person a credit against the State income tax for certain amounts paid to an employee based on the payment of certain wages and tips.

Firearm mortality includes suicide, homicide, and other intents. The provision concerns firearm access, safety, or prevention of firearm injury and may address only part of the death count. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Firearm deaths · Homicide deaths. This record’s connection to the topic does not establish an effect on the measured result.

Imposing an excise tax on certain gross receipts of certain firearms dealers derived from the sales of firearms, firearm accessories, and ammunition in the State and sales of firearms to residents of the State; requiring the Comptroller to distribute a portion of the tax revenues to the Maryland Violence Intervention Program, the Center for Firearm Violence Prevention, the Coordinated Community Supports Partnership, the Survivors of Homicide Victims Program, the Trauma Physician Services Fund, and the Cowley Shock Trauma Center; etc.

The relationship concerns proposed violence-prevention funding. The tax proposal did not become law and does not establish fewer firearm deaths. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Firearm deaths. This record’s connection to the topic does not establish an effect on the measured result.

HB 387 Department of Legislative Services Maryland General Assembly 2025 Session FISCAL AND POLICY NOTE First Reader House Bill 387 (Delegate Mireku - North, et al. ) Ways and Means Comprehensive Community Safety Funding Act This bill establishes an 11% firearm excise tax on the gross receipts of a federally licensed firearms dealer derived from (1) the retail sale of firearms in the State and (2) the retail sale of firearms to State residents from a federally licensed firearms dealer that is located outside the State. The bill requires specified distributions of the revenue from the excise tax. The bill also provides for the filing of specified tax returns and for the administration of the tax by the Comptroller. The bill takes effect July 1, 2027. Fiscal Summary State Effect: Special fund revenues increase by $15.0 million in FY 2028 and by $16.2 million in FY 2030. Special fund expenditures for administrative costs increase by $2.2 million in FY 2028 and by $0.6 million in FY 2030. Future year expenditures reflect annualization and inflation. ($ in millions) FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 SF Revenue $0 $0 $15.0 $15.6 $16.2 SF Expenditure $0 $0 $2.2 $0.6 $0.6 Net Effect $0.0 $0.0 $12.8 $14.9 $15.5 Note: () = decrease; GF = general funds; FF = federal funds; SF = special funds; - = indeterminate increase; (-) = indeterminate decrease Local Effect: None. Small Business Effect: Potential meaningful. Small businesses that sell firearms will be subject to the new excise tax. However, some portion of the cost of the new tax may be passed on to the consumers through increased prices. HB 387/ Page 2 Analysis Bill Summary: The bill establishes an 11% firearm excise tax on the gross receipts of the sale of firearms in the State by a federally licensed firearms dealer located both within the State and outside the State. The bill specifies the distribution of revenue from the excise tax, administration of the excise tax by the Comptroller, filing of excise tax returns by licensed dealers, and the paying of excise taxes by licensed dealers. The excise tax does not apply to the sale of a firearm to (1) a law enforcement agency; (2) the armed forces of the United States; (3) the National Guard; (4) a law enforcement officer; (5) a retired law enforcement officer; or (6) an individual for the exclusive purpose of competition shooting or match shooting. The excise tax applies to (1) a retail sale made on or after July 1, 2027, by a federally licensed firearms dealer that is a large retailer and (2) a retail sale made by any other federally licensed firearms dealer on or after July 1, 2028. For a federally licensed firearms dealer that is located outside the State, the excise tax only applies if the federally licensed firearms dealer, during the previous calendar year or the current calendar year (1) derives gross revenue from the sale of firearms to residents of the State that exceeds $100,000 or (2) sells firearms to residents of the State for delivery into the State in 200 or more separate transactions. Distribution of the Firearm Excise Tax Revenue Revenue from the firearm excise tax must be distributed equally to the following:  the Coordinated Community Supports Partnership Fund;  the Maryland Trauma Physician Services Fund;  the R Adams Cowley Shock Trauma Center at the University of Maryland Medical System;  the Maryland Violence Intervention and Prevention Program Fund;  the Survivors of Homicide Victims Grant Program within the G overnor’s Office of Crime Prevention and Policy; and  the Center for Firearm Violence Prevention and Intervention within the Maryland Department of Health. The bill specifies that it is the intent of the General Assembly that the excise tax revenue supplement, and not supplant, any other funding for these funds required by law. HB 387/ Page 3 Firearm Excise Tax Returns A federally licensed firearms dealer must complete, under oath, and file an excise tax return with the Comptroller (1) on or before the 25th day of the month that follows the month in which the person sells any firearms within the boundaries of the State or to residents of the State and (2) if specified by the Comptroller, by regulation, on other dates for each month in which the licensee does not sell any firearms in the State or to residents of the State. A person required to file an excise tax return must file with the return an attachment that states any information required by the Comptroller to determine the gross receipts derived from the sales of firearms in the State or to residents of the State. A person required to file an excise tax return must maintain records of the firearms sold in the State or to residents of the State and the basis for the calculation of the excise tax owed. Payment of Firearm Excise Taxes Each person required to file an excise tax return must pay the firearm excise tax in the manner required by the Comptroller, with the return that covers the period in which the person sold firearms in the State or to residents of the State. If a corporation, other than a nonstock, nonprofit corporation, is required to pay the excise tax, personal liability for the tax and interest and penalties on the tax extends to any officer of the corporation who exercises direct control over its fiscal management. If a limited liability company, or limited liability partnership, including a limited partnership registered as a limited liability limited partnership, is required to pay the excise tax, personal liability for the tax and interest and penalties on the tax extends to any person who exercises direct control over the fiscal management of the limited liability company or limited liability partnership. The Comptroller may require a person subject to the firearms excise tax to post security for the excise tax in the amount that the Comptroller determines. A person who willfully fails to file a required firearm excise tax return is guilty of a misdemeanor and, on conviction, is subject to a fine of up to $5,000 or imprisonment of up to five years or both. Definitions A federally licensed firearms dealer is a person licensed by the federal Bureau of Alcohol, Tobacco, Firearms and Explosives to deal in firearms. Gross receipts are defined as the total amount of the sale or lease or rental price of the retail sale by a person, valued in money, whether received in money or otherwise, without any deduction for (1) the cost of the property sold; (2) the cost of the materials used, labor or

The relationship concerns proposed violence-prevention funding. The tax proposal did not become law and does not establish fewer firearm deaths. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Firearm deaths. This record’s connection to the topic does not establish an effect on the measured result.

HB 935 Department of Legislative Services Maryland General Assembly 2024 Session FISCAL AND POLICY NOTE First Reader House Bill 935 (Delegate Mireku - North, et al. ) Ways and Means Comprehensive Community Safety Funding Act This bill establishes an 11% firearm, firearm accessory, and ammunition (FFAA) excise tax on the gross receipts of a federally licensed firearms dealer derived from the sales of firearms, firearm accessories, and ammunition in the State. The bill requires specified distributions of the revenue from the excise tax. The bill provides for the filing of specified tax returns and for the administration of the tax by the Comptroller. The bill takes effect July 1, 2025. Fiscal Summary State Effect: Special fund revenues increase by approximately $22.4 million in FY 2026 and by $25.0 million in FY 2029. Special fund expenditures for administrative costs increase by $3.7 million in FY 2026 and by $716,500 in FY 2029. Future year expenditures reflect annualization and inflation. ($ in millions) FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 SF Revenue $0 $22.4 $23.2 $24.1 $25.0 SF Expenditure $0 $3.7 $0.7 $0.7 $0.7 Net Effect $0.0 $18.7 $22.6 $23.4 $24.3 Note:() = decrease; GF = general funds; FF = federal funds; SF = special funds; - = indeterminate increase; (-) = indeterminate decrease Local Effect: None. Small Business Effect: Potential meaningful. Small businesses that sell firearms, firearm accessories, and ammunition will be subject to the new excise tax. However, some portion of the cost of the new tax may be passed on to the consumers through increased prices. HB 935/ Page 2 Analysis Bill Summary: The bill establishes an 11% FFAA excise tax on the gross receipts of the sale of firearms, firearm accessories, and ammunition in the State by a federally licensed firearms dealer. The bill specifies the distribution of revenue from the excise tax, administration of the excise tax by the Comptroller, filing of excise tax returns by licensed dealers, and the paying of excise taxes by licensed dealers. Distribution of the Firearm, Firearm Accessory, and Ammunition Excise Tax Revenue Revenue from the FFAA excise tax must be distributed as follows:  44% to the Maryland Trauma Physician Services Fund;  29% to the R Adams Cowley Shock Trauma Center at the University of Maryland Medical System;  23% to the Violence Intervention and Prevention Program Fund;  2% to the Survivors of Homicide Victims Grant Program within the G overnor’s Office of Crime Prevention and Policy; and  2% to the Center for Firearm Violence Prevention and Intervention within the Maryland Department of Health. The bill specifies that it is the intent of the General Assembly that the excise tax revenue supplement, and not supplant, any other funding for these funds required by law. Firearm, Firearm Accessory, and Ammunition Excise Tax Returns A federally licensed firearms dealer must complete, under oath, and file an FFAA excise tax return with the Comptroller: (1) on or before the 25th day of the month that follows the month in which the person sells any firearms, firearm accessories, or ammunition within the boundaries of the State; and (2) if specified by the Comptroller, by regulation, on other dates for each month in which the licensee does not sell any firearms, firearm accessories, or ammunition in the State. A person required to file an excise tax return must file with the return an attachment that states any information required by the Comptroller to determine the gross receipts derived from the sales of firearms, firearm accessories, and ammunition in the State. A person required to file an excise tax return must maintain records of the firearms, firearms accessories, and ammunition sold in the State and the basis for the calculation of the FFAA excise tax owed. HB 935/ Page 3 Payment of Firearm, Firearm Accessory, and Ammunition Excise Taxes Each person required to file an excise tax return must pay the FFAA excise tax in the manner required by the Comptroller, with the return that covers the period in which the person sold firearms, firearm accessories, or ammunition in the State. If a corporation, other than a nonstock, nonprofit corporation, is required to pay the FFAA excise tax, personal liability for the tax and interest and penalties on the tax extends to any officer of the corporation who exercises direct control over its fiscal management. If a limited liability company, or limited liability partnership, including a limited partnership registered as a limited liability limited partnership, is required to pay the FFAA excise tax, personal liability for the tax and interest and penalties on the tax extends to any person who exercises direct control over the fiscal management of the limited liability company or limited liability partnership. The Comptroller may require a person subject to the FFAA excise tax to post security for the excise tax in the amount that the Comptroller determines. A person who willfully fails to file a required FFAA excise tax return is guilty of a misdemeanor and, on conviction, is subject to a fine up to $5,000 or imprisonment up of to five years or both. Definitions A federally licensed firearms dealer is a person licensed by the federal Bureau of Alcohol, Tobacco, Firearms and Explosives to deal in firearms. A firearm accessory is: (1) a magazine or magazine loader; (2) a firearm scope or optic; (3) a stock; (4) a grip; (5) a handguard; or (6) body armor. Gross receipts are defined as the total amount of the sale or lease or rental price of the retail sale by a person, valued in money, whether received in money or otherwise, without any deduction for: (1) the cost of the property sold; (2) the cost of the materials used, labor or service cost, interest paid, losses, or any other expense; or (3) the cost of transportation of the property. Gross receipts do not include: (1) cash discounts allowed and taken on sales; (2) the sale price of property returned by customers when that amount is refunded in cash or credit unless the customer, in order to obtain the refund, is required to purchase other property at a price greater than the amount charged for the property that is returned; (3) the price received for labor or services used in installing or applying the property sold; and (4) the amount of any tax imposed by the United States, the State, a county, or a municipality on or with respect to retail sales whether imposed on the person or the consumer.

Wages and cash benefits can be components of household money income. Census income is measured before taxes, so tax relief alone is not an increase in this statistic; the provision does not determine the statewide median. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Median household income. This record’s connection to the topic does not establish an effect on the measured result.

Authorizing certain employees to sue to recover the difference between certain prevailing wage rates and certain amounts under certain circumstances; providing that a certain determination by the Commissioner of Labor and Industry does not preclude certain employees from filing a certain action; and providing for the liability of certain contractors and subcontractors under certain circumstances.

Gross rent includes contract rent and tenant-paid utilities. Rental protections, assistance, and housing supply concern components of rental-market conditions; they do not set Maryland’s median rent. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Median gross rent. This record’s connection to the topic does not establish an effect on the measured result.

Allowing certain landlords a credit against the State income tax for rental dwelling units in which, during the taxable year, a landlord permits residential tenants to reside with companion animals; requiring the Comptroller to maintain and publish on the Comptroller's website a list of landlords who claim the credit and the properties at which each landlord permits tenants to reside with companion animals; etc.

Gross rent includes contract rent and tenant-paid utilities. Rental protections, assistance, and housing supply concern components of rental-market conditions; they do not set Maryland’s median rent. This relationship does not establish causation. Actions after the fact’s measurement period cannot explain its earlier value.

Retained Maryland evidence context: Median gross rent. This record’s connection to the topic does not establish an effect on the measured result.

Prohibiting an owner or agent of an owner of a housing development that on or after January 1, 2025, received an allocation of certain tax credits from the Department of Housing and Community Development from imposing certain prohibitions and costs related to a resident's possession of pets; and applying the Act prospectively.