To the Members of the Maryland Senate,
On behalf of National Taxpayers Union’s (NTU) Maryland members, I strongly encourage you to support SB 220, sponsored by Senator James Brochin. If enacted, SB 220 would cut the alcohol sales tax from 9 percent to 5 percent.
In 2011, Maryland raised the sales tax on alcohol from 6 percent to 9 percent. SB 220 presents the Senate the opportunity to undo this mistake. The Fiscal and Policy Note issued by the Department of Legislative Services highlights that the bill will increase alcohol sales by “3 percent annually over current projections as a result of the rate reduction.” This would be a boon to small businesses, including bars, restaurants, distilleries, wineries and brewers who would see an increase in demand for their products. In addition, the tax cut would leave additional money in the pockets of hardworking Old Line State residents.
Maryland’s sales tax on alcohol is much higher than its neighboring states. Cutting the sales tax back to 5 percent is business and consumer friendly legislation. Accordingly, NTU strongly urges you to support SB 220.
Sincerely,
Clark PackardPolicy and Government Affairs Manager