Maryland Senate President Bill Ferguson said Friday his chamber plans to reduce a proposed increase on the state’s sales tax on vehicles after President Donald Trump announced he’d levy a 25% tariff on imported vehicles and auto parts.
The swift pivot marks yet another Trump-induced change in course for lawmakers navigating a tough budget squeeze.
Maryland lawmakers were moving their budget through the legislative process when Trump’s announcement landed this week. The House of Delegates had passed a version of the budget containing a 6.8% excise tax on vehicle sales, up from 6%. It estimated the tax would add $140 million to the more than $1 billion in taxes currently collected from vehicle sales, according to the transportation department.
But Ferguson said budget leaders in his chamber are considering dropping that proposed increase in response to Trump’s “draconian” proposal — by as much as half a percentage point from where the House landed.
Click here to read the rest of the article written by Brenda Wintrode over at The Baltimore Banner
