Shocker, MD Income taxes to increase

[Anonymous]

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.

I don't think the governor's budget proposal should be based on your personal preferences. If you want to move to Virginia, then move.

They will. It happened in MA. The state raised taxes on high net worth households and saw a significant enough outmigration of those demographics, mostly to Florida, that anticipated revenues absolutely did not materialize. It's not hard to establish residency in Florida while retaining a home in MA. Even moderately comfortable people do it all the time from Maryland.

The threshold for the income tax increase is pretty low. Looks like it's $175k HHI. Which is nothing in Maryland. Nothing. Which also means most DCUMers will be paying higher taxes if they live in Maryland. It will see a push towards VA as people vote with their feet over time, which they already do. And retirees too.

I just hope Moore is really confident of his reelection chances. One reason why Hogan was so popular was he didn't raise taxes. And a strong centrist candidate running on a cutting tax platform could definitely have a chance against Moore.

And those who moved to Florida have lower "taxes" but when you factor in "fees" and the higher insurance costs, it basically evens out. Plus, you have to live in Florida, which for a lot of people is a non-starter.

[Anonymous]

Anonymous wrote:Marylanders elected a Democrat for governor. Certainly you can’t be shocked when they implement Democrat aligned policies. They literally are turning into the worst parts of Massachusetts.

Because they have to once again, make up for the shortcomings of the outgoing GOP governor.

[Anonymous]

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.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Will never understand why people choose to live in MD.

Will never understand why people who don't live in MD choose to post on an internet message board thread about MD policies affecting people who live in MD.

Because Maryland is a disfunctional sh!tshow of a state, and it’s a laughingstock. Because our elected officials in the HoD and Senate cannot seem to say “no” when it comes to spending money. And the whole country laughs at us.

-a lifelong MD resident

Who, specifically?

[Anonymous]

Anonymous wrote:

Anonymous wrote:Marylanders elected a Democrat for governor. Certainly you can’t be shocked when they implement Democrat aligned policies. They literally are turning into the worst parts of Massachusetts.

Because they have to once again, make up for the shortcomings of the outgoing GOP governor.

The governor who left office with a 77% approval rating?

https://www.wmar2news.com/news/local-news/governor-larry-hogan-leaves-office-with-a-77-approval-rating-gonzales-maryland-poll-says

[Anonymous]

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.

Bye!

We’ll happily replace you with a dozen immigrants, who will all need state funded programs to function and survive here! They will strengthen us with their diversity!!! Take your money and GTFO! We don’t need you! Diversity is our strength!!!

lol touché

[Anonymous]

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.

You can control the car tax easily, you can’t control Wes Moore and the Maryland legislators

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Marylanders elected a Democrat for governor. Certainly you can’t be shocked when they implement Democrat aligned policies. They literally are turning into the worst parts of Massachusetts.

Because they have to once again, make up for the shortcomings of the outgoing GOP governor.

The governor who left office with a 77% approval rating?

https://www.wmar2news.com/news/local-news/governor-larry-hogan-leaves-office-with-a-77-approval-rating-gonzales-maryland-poll-says

It's possible for two things to be true at once: Larry Hogan left office with a high approval rating, and Larry Hogan left the state with a structural deficit.

[Anonymous]

What are the new tax brackets?

One of the PPs mentioned a tax increase at $175k HHI, but the article mentions an increase at $500k.

[Anonymous]

Anonymous wrote:What are the new tax brackets?

One of the PPs mentioned a tax increase at $175k HHI, but the article mentions an increase at $500k.

They aren't anything, yet. This is merely the governor's proposal. The General Assembly will make the decisions.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Wow the Estate Tax exemption drops from $5mln to $2mln. Start putting your assets into a trust now!

That's one way to get the boomers in MoCo and Howard to sell. Especially with PA and VA being the two bordering states.

So it's good housing policy too.

The Lesiure World parcel opening up would be a dream scenario.

[Anonymous]

Anonymous wrote:What are the new tax brackets?

One of the PPs mentioned a tax increase at $175k HHI, but the article mentions an increase at $500k.

175k was based on someone looking up the 82nd percentile income in MD and Moore's claim that taxes would go up for 18% of residents. Assuming 500k is top 2% or so, there must be much broader application of the capital gains tax (the detail wasn't in the publication) and effects from the elimination of itemized deductions in favor of doubling the standard deductuon that would result in another 16% seeing higher tax.

[Anonymous]

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/

Residential property assessments in Maryland went up 18% on average. I don't know where Moore comes up with no property tax increases for 80% of residents.

One term governor.

[Anonymous]

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.

Move to Delaware.

[Anonymous]

We lived in MD for five years. Every single year we had an issue with MD taxes. Two years in a row they put my estimated tax payments into someone else's account. I had to get my bank on conference calls with them. I wasted hours of my life on the phone with them. I'm so glad we moved.