Congressman Steny H. Hoyer (MD-05), Senator Chris Van Hollen (D-MD), and Congressman Anthony G. Brown (MD-04) hosted a roundtable discussion this morning to discuss the Republican tax bill and the impact limitations placed on the state and local tax deduction (SALT) will have on businesses and individuals in Maryland. Signed into law in December, the legislation raises taxes on nearly 700,000 middle-class families in Maryland and adds $1.5 trillion to the deficit over the next ten years.
“The partisan tax legislation signed into law by President Trump in December was not comprehensive tax reform,” said Congressman Hoyer. “Instead of providing relief to middle class families, the law imposes a new double tax on hardworking Maryland families by limiting the state and local tax deduction. Limiting this deduction will increase the cost of homeownership; pressure local jurisdictions to make cuts to widely used services, including first responders; and make it harder to raise revenues to pay for important public projects such as schools and roads.”
“I appreciated hearing from representatives from local jurisdictions, unions, and the real estate industry, and hearing their concerns about the extremely negative impacts this tax legislation will have on hundreds of thousands of Marylanders,” continued Congressman Hoyer. “I want to thank Senator Van Hollen and Congressman Brown for joining me today, and for their work to highlight the devastating consequences the Republican tax plan will have on middle-class families.”
“After the passage of the GOP’s disastrous tax bill, folks across Maryland and the country are confused and frustrated — and for good reason,” said Senator Van Hollen. “While Republicans focused on providing huge giveaways to powerful corporations and special interests, thousands of middle class Maryland families are left to pick up the tab in one way or another. While corporations can continue to deduct their state and local taxes from their federal taxes, this deduction is capped for Maryland families. As a result Maryland families are double-taxed — the monies they pay to Annapolis are also taxed by Uncle Sam. That’s why we are talking to our constituents who are impacted, as well as asking Governor Hogan to outline his next steps. We stand ready to help alleviate the heavy burden this new policy will place on families and public services throughout our state.”
“Maryland is one of the states hardest hit by the Republican tax plan,” said Congressman Brown. “Even as the wealthiest 1 percent and big corporations get a trillion-dollar tax cut, nearly 700,000 Maryland working families will see their taxes go up. This deficit-exploding tax plan will lower home values and put home ownership out of reach for many; kicks millions of their health coverage and raises insurance premiums; and, will force states and localities to make costly cuts to education, infrastructure and public safety. It is a bad deal for Maryland and a bad deal for the country.”