Owners of small Maryland businesses say Gov. Wes Moore’s Proposed Budget Plan can end by running them from business.
The Maryland Chamber of Commerce and representatives of small businesses are opposing the Governor’s proposal, saying its proposed tax legislation can destroy small businesses.
Moore’s proposed fy2026 budget aims to trim State deficit of $ 2.7 billion.
“The message we are sending to entrepreneurs and businesses with this type of legislation is clear, your investment and job creation is not valued here, and I think this is a very dangerous message to send,” said Greg Brown, owner of Brewers Alley in Frederick.
Mary Kane, with the Maryland Chamber of Commerce, took on the podium on Thursday and called on the state lawmakers to refuse the proposed tax increase on small businesses, abandon combined reporting, maintain enterprise tax zone loans and review the proposal of corporate taxation.
“Our state is arguing on tax proposals that threaten to push Maryland in the wrong direction, a short -sighted approach and will only make things worse,” Kane said. “Instead of looking at businesses as a problem, or another target for taxation, we must recognize them as part of the solution, the main promoters of growth and opportunities.”
The state is legally required to pass a balanced budget, and the legislature is likely to vote on the 83rd day of the session on April 1, 2025.
“I’m very pro-business”
On Thursday, at a meeting before the General Assembly, Gov. Moore made his case for Budget balancing planTargeting changes in the tax code that will raise money for the billion -dollar budget deficit, but will also provide tax relief to moderate income families.
Moore also said he wants businesses to come to Maryland and stay.
“I’m very pro-biznes,” Moore said. “I want businesses to be able to come here and stay here.”
Moore’s proposal involves reducing a 0.26%corporate tax reduction, which delegates stressed to be even higher than neighboring states.
“The consequences of our taxes and our business environment are already obvious,” Kane said. “We are falling back to any extent of economic competition.”
Gov tax plan. Moore
According to his proposed tax plan, the four lower state brackets will be combined and taxed at a rate of 4.7%, which means that two -thirds of the state salary winners will see a tax cut, which on average about $ 175.
The standard descent would double, while the articulated discount would be eliminated.
Two new tax brackets for higher income Marylanders would be created. Those who make $ 500,000 a year will be taxed at 6.25% while those who make $ 1 million or more will be taxed to 6.5%. Currently, Marylanders making over $ 250,000 taxed at 5.75%.
The heritage tax would be eliminated. The rate of corporate taxes will also be shortened, which Gov. Moore hopes to stimulate businesses to grow in the state.
Strengthening Maryland’s economy
When it comes to business behavior and strengthening Maryland’s economy, the governor said the state is already seeing progress.
“For the first time in a long time, we are looking at the increase in labor force participation in the state of Maryland, not to sit. When I was inaugurated, Maryland was 43 in the country in unemployment. Now, Maryland has the lowest unemployment levels across the country,” Gov said. Moore.
He added that the goal would be to stimulate businesses to come to the state, making it easier for them to grow.
“We will continue to go out, meet with CEO, meet with business leaders, especially in the growth industries, and let them know that there is no better background for their long-term growth than Maryland’s state,” the governor said.
Kelsey Kushner
