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December 26, 2007

Miller "Not of a Mood" to Repeal Computer Services Sales Tax

Sunday’s Washington Post featured an item from John Wagner indicating that Senate President Mike Miller is “not of a mood to repeal the computer services tax.” Here is the complete blurb:

Opponents of New Tax May Have to Face Miller

Advocates of repealing a new tax on computer services are likely to run into a powerful opponent in the coming session: Senate President Thomas V. Mike Miller Jr. (D-Calvert).

The expansion of the sales tax to include computer services was one of the least-debated yet most controversial actions taken by the General Assembly in its special session that ended last month. Business groups are saying repeal of the tax, which is projected to generate $200 million a year in revenue, will be among their top priorities when lawmakers return Jan. 9.

It will not be among Miller’s.

“I’m not of a mood to repeal the computer tax,” he said in an interview this week.

The majority of the revenue from the new tax is expected to come from business-to-business transactions. That is better, Miller said, than putting more of the burden on “blue-collar guys” by increasing the taxes they pay.

As we enter the New Year, we will be ramping up our efforts to repeal the the computers services sales tax. The tax should be repealed because it:

  • Stifles economic development
  • Damages Maryland’s competitiveness
  • Hurts small and growing companies
  • Was hastily passed without meaningful public input
  • Will be an administrative nightmare.

If you agree with us that this tax needs to be repealed, please contact your legislators. If we are going to achieve the goal of repealing the computer services sales tax, legislators must hear from people who live and work in their districts.

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