MD House Leadership Announces “Family Budget Boosters” Tax Relief Package
Today, Speaker Adrienne A. Jones, Majority Leader Eric Luedtke and Ways and Means Committee Chair Vanessa Atterbeary held a press conference to announce a tax relief package to help working and middle-class families afford basic necessities and put chronically unemployed Marylanders back to work.
“We promised that this session would be about supporting working families and helping those left behind in post-pandemic recovery. This tax relief package is another step to deliver on that promise,” said Speaker Jones. “Struggling Marylanders need a break. This package will deliver a critical boost to family budgets and will help put more Marylanders back to work.”
The legislative package exempts the sales tax on household products that families purchase regularly. The “Family Budget Boosters” bills exempt the sales tax on baby products including diapers, car seats, baby bottles and bottle nipples. It also exempts the sales tax on health products like dental hygiene products, medical devices and diabetic care products.
“Inflation has caused the prices of basic goods to go up, and more Marylanders are feeling a financial pinch,” said Chairman Atterbeary. “This critical tax relief will help eliminate financial barriers to affording health and medical products. It will help families with small children afford necessities that they purchase each week. And it will help those who struggle to find work become more employable.”
The package also includes the Work Opportunity Tax Credit. Modeled after a successful federal program, the Work Opportunity Tax Credit provides a tax credit to businesses that hire and retain workers from underrepresented communities who are chronically unemployed.
“A job is often more than just a job,” said Majority Leader Luedtke. “It’s a ticket to the middle class. It provides people with the opportunity to afford the basic necessities of daily life.”
The package includes the following bills:
- HB1151 – Sales and Use Tax – Diabetic Care Products – Exemption (Washington)
- HB288 – Sales and Use Tax – Baby Products – Exemption (Crosby & Jones)
- HB282 – Sales and Use Tax – Diapers – Exemption (Crosby & Jones)
- HB492 – Sales and Use Tax – Oral Hygiene Products – Exemption (Johnson)
- HB364 – Sales and Use Tax – Medical Devices – Exemption (Henson)
- HB2 – Income Tax – Work Opportunity Tax Credit (Luedtke)
