Shocker, MD Income taxes to increase

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

This makes the difference between tax rates in MD and VA quite large. The top rate in VA is 5.75%, in MD the top rate will be 10.7% after this bill passes. The top income tax rate will be almost double after that of Virginia after this law passes. A law firm partner making 2M pre-tax, will have a take home pay of 1.067M in Virginia. In MD (MOCO) their take home pay would only be 995k. Many highly compensated professionals will be interested in moving right across the river to increase their disposable income by more than 7% (6k per month).

now add in the "car tax" and other fees that Virginia has, and you will discover that living in either place is about the same.

The VA car tax isn't anywhere near $6k per month. Its a once per year tax based on the value of your vehicle. There are no other fees to live in VA.

VA is also one of the only states in the country to tax groceries. It's the subject of campaign ads because politicians promise to get rid of the grocery tax, yet it always remains.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

This makes the difference between tax rates in MD and VA quite large. The top rate in VA is 5.75%, in MD the top rate will be 10.7% after this bill passes. The top income tax rate will be almost double after that of Virginia after this law passes. A law firm partner making 2M pre-tax, will have a take home pay of 1.067M in Virginia. In MD (MOCO) their take home pay would only be 995k. Many highly compensated professionals will be interested in moving right across the river to increase their disposable income by more than 7% (6k per month).

now add in the "car tax" and other fees that Virginia has, and you will discover that living in either place is about the same.

The VA car tax isn't anywhere near $6k per month. Its a once per year tax based on the value of your vehicle. There are no other fees to live in VA.

Excuse me? Don’t you have state or Commonwealth income tax and county tax as well?

Yes, there is state income tax which was covered above and county assessed real estate and personal property (car) taxes. Those aren't fees. It's still cheaper than what your governor is proposing.

[Anonymous]

For Moore to blame this on the previous administration is absolutely dishonest.

This is all because of the Kirwin Blueprint (which Hogan vetoed, but the legislature overrode). It was the largest unfunded mandate in state history- done solely by the Dems- and now the bill is due. I dont know why anyone is surprised.

The taxes on delivery, drastic increase in car registration are very regressive.

Moore is not it.

[Anonymous]

Anonymous wrote:For Moore to blame this on the previous administration is absolutely dishonest.

This is all because of the Kirwin Blueprint (which Hogan vetoed, but the legislature overrode). It was the largest unfunded mandate in state history- done solely by the Dems- and now the bill is due. I dont know why anyone is surprised.

The taxes on delivery, drastic increase in car registration are very regressive.

Moore is not it.

Agreed. The Dems in the MD state legislature evidently feel like saints to have passed the Blueprint. Too bad they didn't look at the other side of that equation: there is no money for this plan without significant county property tax increases. It's sad how the legislators never see taxpayers as their constituents. We're just mythical creatures here to pay for whatever legislators dish out.

[Anonymous]

Anonymous wrote:

Anonymous wrote:For Moore to blame this on the previous administration is absolutely dishonest.

This is all because of the Kirwin Blueprint (which Hogan vetoed, but the legislature overrode). It was the largest unfunded mandate in state history- done solely by the Dems- and now the bill is due. I dont know why anyone is surprised.

The taxes on delivery, drastic increase in car registration are very regressive.

Moore is not it.

Agreed. The Dems in the MD state legislature evidently feel like saints to have passed the Blueprint. Too bad they didn't look at the other side of that equation: there is no money for this plan without significant county property tax increases. It's sad how the legislators never see taxpayers as their constituents. We're just mythical creatures here to pay for whatever legislators dish out.

Not mentioned in this thread is that BGE in the Baltimore area is now tacking on a new $26 fee to every monthly bill to pay for multiple new charges. Between that and the car registration fee, everyone in Maryland is definitely paying more irregardless of any little tax cut they may get.

But one does have to make peace with it. Maryland has California-level Democratic supermajorities as result of two large and influential demographics, government employees and the state's large black population. Between the two, they will ensure this no matter what happens. It's why a mediocre second rate county executive of one of the state's worse run counties won comfortably over an experienced former governor with a history of bucking his own party and focusing on fiscal matters and keeping taxes and fees low. But that's the reality of Maryland for you. I don't have a choice right now but keep paying the higher fees and taxes, although when the time comes we will certainly be leaving the state, as many have before us and many will do after us.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

This makes the difference between tax rates in MD and VA quite large. The top rate in VA is 5.75%, in MD the top rate will be 10.7% after this bill passes. The top income tax rate will be almost double after that of Virginia after this law passes. A law firm partner making 2M pre-tax, will have a take home pay of 1.067M in Virginia. In MD (MOCO) their take home pay would only be 995k. Many highly compensated professionals will be interested in moving right across the river to increase their disposable income by more than 7% (6k per month).

now add in the "car tax" and other fees that Virginia has, and you will discover that living in either place is about the same.

The VA car tax isn't anywhere near $6k per month. Its a once per year tax based on the value of your vehicle. There are no other fees to live in VA.

VA is also one of the only states in the country to tax groceries. It's the subject of campaign ads because politicians promise to get rid of the grocery tax, yet it always remains.

It’s literally taxed at a 1% rate so who cares. No one making 1M or 2M a year cares about a 1% grocery tax that will cost them at most $100 or $200 each year.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

This makes the difference between tax rates in MD and VA quite large. The top rate in VA is 5.75%, in MD the top rate will be 10.7% after this bill passes. The top income tax rate will be almost double after that of Virginia after this law passes. A law firm partner making 2M pre-tax, will have a take home pay of 1.067M in Virginia. In MD (MOCO) their take home pay would only be 995k. Many highly compensated professionals will be interested in moving right across the river to increase their disposable income by more than 7% (6k per month).

now add in the "car tax" and other fees that Virginia has, and you will discover that living in either place is about the same.

The VA car tax isn't anywhere near $6k per month. Its a once per year tax based on the value of your vehicle. There are no other fees to live in VA.

VA is also one of the only states in the country to tax groceries. It's the subject of campaign ads because politicians promise to get rid of the grocery tax, yet it always remains.

It’s literally taxed at a 1% rate so who cares. No one making 1M or 2M a year cares about a 1% grocery tax that will cost them at most $100 or $200 each year.

Nobody making 2M a year only spends $200 a week on groceries. Especially not these days.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

This makes the difference between tax rates in MD and VA quite large. The top rate in VA is 5.75%, in MD the top rate will be 10.7% after this bill passes. The top income tax rate will be almost double after that of Virginia after this law passes. A law firm partner making 2M pre-tax, will have a take home pay of 1.067M in Virginia. In MD (MOCO) their take home pay would only be 995k. Many highly compensated professionals will be interested in moving right across the river to increase their disposable income by more than 7% (6k per month).

now add in the "car tax" and other fees that Virginia has, and you will discover that living in either place is about the same.

The VA car tax isn't anywhere near $6k per month. Its a once per year tax based on the value of your vehicle. There are no other fees to live in VA.

VA is also one of the only states in the country to tax groceries. It's the subject of campaign ads because politicians promise to get rid of the grocery tax, yet it always remains.

It’s literally taxed at a 1% rate so who cares. No one making 1M or 2M a year cares about a 1% grocery tax that will cost them at most $100 or $200 each year.

Nobody making 2M a year only spends $200 a week on groceries. Especially not these days.

People go out to eat a lot now and and even if you spend 50k a year ($1,000 a week) on groceries that is only $500 per year. Once again no one making that much cares about a grocery tax at all. You are comparing around $40 a month in grocery taxes to $6,000 per month in tax savings from relating to Virginia.

[Anonymous]

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

? with no traffic maybe, but with traffic

[Anonymous]

I make $900k a year. No amount of increased taxes would make me move to VA.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

This makes the difference between tax rates in MD and VA quite large. The top rate in VA is 5.75%, in MD the top rate will be 10.7% after this bill passes. The top income tax rate will be almost double after that of Virginia after this law passes. A law firm partner making 2M pre-tax, will have a take home pay of 1.067M in Virginia. In MD (MOCO) their take home pay would only be 995k. Many highly compensated professionals will be interested in moving right across the river to increase their disposable income by more than 7% (6k per month).

now add in the "car tax" and other fees that Virginia has, and you will discover that living in either place is about the same.

The VA car tax isn't anywhere near $6k per month. Its a once per year tax based on the value of your vehicle. There are no other fees to live in VA.

VA is also one of the only states in the country to tax groceries. It's the subject of campaign ads because politicians promise to get rid of the grocery tax, yet it always remains.

It’s literally taxed at a 1% rate so who cares. No one making 1M or 2M a year cares about a 1% grocery tax that will cost them at most $100 or $200 each year.

Nobody making 2M a year only spends $200 a week on groceries. Especially not these days.

I make close to a million a year. I only spend about $200 a week on groceries. It's just my husband and me. Our kids are grown. I honestly wouldn't notice.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:For Moore to blame this on the previous administration is absolutely dishonest.

This is all because of the Kirwin Blueprint (which Hogan vetoed, but the legislature overrode). It was the largest unfunded mandate in state history- done solely by the Dems- and now the bill is due. I dont know why anyone is surprised.

The taxes on delivery, drastic increase in car registration are very regressive.

Moore is not it.

Agreed. The Dems in the MD state legislature evidently feel like saints to have passed the Blueprint. Too bad they didn't look at the other side of that equation: there is no money for this plan without significant county property tax increases. It's sad how the legislators never see taxpayers as their constituents. We're just mythical creatures here to pay for whatever legislators dish out.

Not mentioned in this thread is that BGE in the Baltimore area is now tacking on a new $26 fee to every monthly bill to pay for multiple new charges. Between that and the car registration fee, everyone in Maryland is definitely paying more irregardless of any little tax cut they may get.

But one does have to make peace with it. Maryland has California-level Democratic supermajorities as result of two large and influential demographics, government employees and the state's large black population. Between the two, they will ensure this no matter what happens. It's why a mediocre second rate county executive of one of the state's worse run counties won comfortably over an experienced former governor with a history of bucking his own party and focusing on fiscal matters and keeping taxes and fees low. But that's the reality of Maryland for you. I don't have a choice right now but keep paying the higher fees and taxes, although when the time comes we will certainly be leaving the state, as many have before us and many will do after us.

As a long-time government employee and an even longer-time Democrat, I agree with this in part. We used to have super-smart politicians scattered around the state who could think innovatively and also understand the basic challenges of operationalizing certain policy changes. So they more carefully crafted bills/laws/policy.

That's over. Politics is 100% performative now. Do their proposed bills elicit the necessary dopamine rush from their base/constituents? They don't care that many of their policies sound beautiful but cannot be operationalized well. And that when operationalized, they often reduce the burden that the bill was trying to relieve and create other burdens, generally in the same vulnerable communities. Instead of making tough budget decisions, they shift to the default of tax increases. Meanwhile, the underbelly of government operations continues to rot. You get less while paying more.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What an odd way to characterize the governor's budget proposal.

Governor’s budget proposal to include tax cuts and ‘growth agenda’ spending

Moore: 82% of people will see a cut or no change in taxes; corporate tax rate would also be cut

https://marylandmatters.org/2025/01/14/governors-budget-proposal-to-include-tax-cuts-and-growth-agenda-spending/

but yet my taxes will go up plus a surcharge on capital gains. They just love losing wealthy residents to VA. At some point, who will stay? There is zero incentive to stay in MD when VA is 5 min from my house.

This makes the difference between tax rates in MD and VA quite large. The top rate in VA is 5.75%, in MD the top rate will be 10.7% after this bill passes. The top income tax rate will be almost double after that of Virginia after this law passes. A law firm partner making 2M pre-tax, will have a take home pay of 1.067M in Virginia. In MD (MOCO) their take home pay would only be 995k. Many highly compensated professionals will be interested in moving right across the river to increase their disposable income by more than 7% (6k per month).

now add in the "car tax" and other fees that Virginia has, and you will discover that living in either place is about the same.

The VA car tax isn't anywhere near $6k per month. Its a once per year tax based on the value of your vehicle. There are no other fees to live in VA.

VA is also one of the only states in the country to tax groceries. It's the subject of campaign ads because politicians promise to get rid of the grocery tax, yet it always remains.

It’s literally taxed at a 1% rate so who cares. No one making 1M or 2M a year cares about a 1% grocery tax that will cost them at most $100 or $200 each year.

Nobody making 2M a year only spends $200 a week on groceries. Especially not these days.

I make close to a million a year. I only spend about $200 a week on groceries. It's just my husband and me. Our kids are grown. I honestly wouldn't notice.

This is why we should have wealth-based tax instead of income-based tax. Doesn't have the regressive effect on social mobility that keeps the middle class struggling and the very wealthy able to game the overall societal system -- opportunity, advantaged income sources, overall taxation as a percentage of income, etc. -- to their continued benefit.

[Anonymous]

Anonymous wrote:I make $900k a year. No amount of increased taxes would make me move to VA.

The governor wants to meet you for a political donation. The state legislators from BC, MoCo and PG are right behind him in line.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:For Moore to blame this on the previous administration is absolutely dishonest.

This is all because of the Kirwin Blueprint (which Hogan vetoed, but the legislature overrode). It was the largest unfunded mandate in state history- done solely by the Dems- and now the bill is due. I dont know why anyone is surprised.

The taxes on delivery, drastic increase in car registration are very regressive.

Moore is not it.

Agreed. The Dems in the MD state legislature evidently feel like saints to have passed the Blueprint. Too bad they didn't look at the other side of that equation: there is no money for this plan without significant county property tax increases. It's sad how the legislators never see taxpayers as their constituents. We're just mythical creatures here to pay for whatever legislators dish out.

Not mentioned in this thread is that BGE in the Baltimore area is now tacking on a new $26 fee to every monthly bill to pay for multiple new charges. Between that and the car registration fee, everyone in Maryland is definitely paying more irregardless of any little tax cut they may get.

But one does have to make peace with it. Maryland has California-level Democratic supermajorities as result of two large and influential demographics, government employees and the state's large black population. Between the two, they will ensure this no matter what happens. It's why a mediocre second rate county executive of one of the state's worse run counties won comfortably over an experienced former governor with a history of bucking his own party and focusing on fiscal matters and keeping taxes and fees low. But that's the reality of Maryland for you. I don't have a choice right now but keep paying the higher fees and taxes, although when the time comes we will certainly be leaving the state, as many have before us and many will do after us.

As a long-time government employee and an even longer-time Democrat, I agree with this in part. We used to have super-smart politicians scattered around the state who could think innovatively and also understand the basic challenges of operationalizing certain policy changes. So they more carefully crafted bills/laws/policy.

That's over. Politics is 100% performative now. Do their proposed bills elicit the necessary dopamine rush from their base/constituents? They don't care that many of their policies sound beautiful but cannot be operationalized well. And that when operationalized, they often reduce the burden that the bill was trying to relieve and create other burdens, generally in the same vulnerable communities. Instead of making tough budget decisions, they shift to the default of tax increases. Meanwhile, the underbelly of government operations continues to rot. You get less while paying more.

This.