The Baltimore Sun is reporting that negotiators from the State Senate and House of Delegates have reached an agreement on the tax package this afternoon.

The most notable element is the sales tax expansion to computer services. The Senate included the expansion in their tax plan despite the fact that computer service companies had no opportunity to voice their opposition during a public hearing. The House did not include a sales tax expansion in their version of the tax plan.

Overall, the tax plan would:

• Increase the corporate income tax rate from 7 percent to 8.25 percent.
• Add three new individual income tax brackets at 5 percent, 5.25 percent and 5.5 percent.
• Increase the sales tax rate from 5 percent to 6 percent.
• Expand the sales tax to computer services.
• Increase the vehicle titling tax rate from 5 percent to 6 percent.

The Daily Record reports that negotiators removed mandatory combined reporting from the final bill.