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Lawmakers considering expanding sales tax to fully fund Maryland schools

Posted at 5:18 PM, Feb 20, 2020
and last updated 2020-02-20 17:22:06-05

ANNAPOLIS, Md. — Lawmakers are considering expanding the sales tax to pay for the blueprint for Maryland's future.

Montgomery County Delegate Eric Luedtke is sponsoring the bill. It would decrease the sales tax rate from six percent to five percent. This would put the state below every neighboring state except Deleware.

To bring in money, the bill would expand the base of the sales tax to cover all services except food, medicine, medical services, social services and the non profit sector.

"Bottom line is we deserve to have the best schools in the country out kids deserve to have access to a great education this is a way we can get there," Delegate Luedtke said. "It's not the only option its one option on the table."

By 2025, this change would bring in about $2.6 billion.

Governor Larry Hogan said this is a tax on working families and single moms.

He said it will cost families $1,700 and is the largest tax increase ever in the state.

Hogan also says this will never happen while he is Governor. Delegate Luedtke said for an average Maryland family, this would equate to about $3 a week in new taxes.