Working to Make the Maryland Tax System Fairer
The Maryland Fair Funding Coalition and state legislators have been working on a legislative package that would raise significant revenue for the Kirwan educational reform package and other priorities while making the state’s tax code fairer by closing loopholes, ending unnecessary special interest giveaways and ensuring all Marylanders pay their fair share.
The package includes bills to:
● Require large, multistate corporations to pay their fair share in corporate taxes for profits generated in Maryland.
● Close a “pass-through” loophole that allows many large, profitable businesses to avoid taxes.
● Apply a 1% surtax on capital gains income to partially offset overly generous treatment in the federal tax code.
● Restructure personal income tax brackets and rates – lowering income tax rates on earners below the median, raise rates on higher-income earners and restore the 7% tax bracket for millionaires
● Reverse the 2014 handout to the wealthy by resetting the estate tax exemption limit at $1 million instead of $5 million.
In all, the package would immediately generate an estimated $1.4 billion in state revenue annually.
“The Kirwan Commission recommendations are a bold and achievable 21st Century education plan to ensure every child in our state has access to the education that they deserve,” said Nikki Thompson, coordinator of the Maryland Fair Funding Coalition. “We can pay for Kirwan and other state priorities without cutting from other essential services or adding to the tax responsibility of working people by closing loopholes and reforming the current upside-down income tax system that leaves lower-income taxpayers paying a smaller share of their income than the wealthiest Marylanders.”
Polling shows that Marylanders would welcome improvements to the state tax code. A recent poll commissioned by the Coalition found wide belief among voters that the tax system in Maryland could be fairer. In all, 53 percent said the tax system is unfair, including 20 percent who said it was very unfair. Sixty-four percent agreed that large corporations do not pay their fair share of taxes. And 55 percent of people in Maryland think the wealthiest pay less than their fair share and that reform is needed to shift the burden off working- and middle-class families.
The Maryland Fair Funding Coalition is made up of more than a dozen organizations from around the state committed to implementing a revenue package that is fair to working families and provides resources to meet critical state needs, such as public school funding. Members include: Baltimore Teachers Union, CASA, Maryland State Conference NAACP, AFSCME-MD, SEIU Local 500, Prince George’s County Education Association, Our Maryland, Maryland Legislative Coalition, Maryland Nonprofits Association, Montgomery County Education Association, Communities United, Common Cause-MD, and Advocates for Children and Youth. Two of the sponsors of this bill package are Montgomery County Delegate Julie Palakovich Carr and Baltimore City Delegate Stephanie Smith.
A Call for a Moral Budget in Baltimore
If you share our perspective of the immorality of the proposed Baltimore Budget, please sign below.
Mayor Bernard ”Jack” Young
Baltimore City Hall
Dear Mayor Young,
You took office at a difficult time when our city needed bold leadership to restore public confidence that good government was possible. You did not take the decisive step of altering the Fiscal Year 2020 budget that you inherited from the previous mayor, even though, as you had fought against it as a City Councilmember.
The FY2020 budget was never an accurate reflection of the morals of our organizations or the needs of the people of Baltimore. For every general fund $1.00 spent on police, 53 cents were budgeted for schools, 15 cents for housing and community development, 13 cents toward human services, just over a nickel for jobs ($.06) and only one penny to address substance use disorder and mental health in Baltimore City.
In fact, Baltimore spends much more per capita on police than similar cities -- at least 25% more. In 2017, Baltimore spent $772 per resident, while Detroit spent $450, New York $581; and Houston $383. The FY2020 Budget increased that to $817 per resident per year. Over the 10 years, spending on the Police and Sheriff’s Departments has grown by 67%, from $317.2 million in FY2010 to $527.2 million in FY2020. It’s grown faster than the city’s overall General Fund, which increased by only 44% over the same time.
Meanwhile, twice as many people in Baltimore die annually from overdoses as compared to murder - which is also horrific. But if increasing police spending worked, Baltimore would be one of our nation’s safest city. Instead, we have been deemed the most dangerous by both the FBI and USA Today.
We need demonstrate different budget priorities. We are prepared to work to elect a mayor who can commit to a right-size Baltimore police budget. That would require moving 25% from policing to investments that will actually build a safe and thriving city. We know you're crafting your own budget right now. The list of needed, alternative investments is long: fully fund our schools, flood the streets with overdose reversal kits, create good jobs, particularly for residents who are formerly incarcerated or facing other roadblocks to meaningful, sustaining work. What values does your new budget reflect? We are watching.
You could build on the foundation of a budget that does not meet our needs, and does not reflect our values, or you could set Baltimore on a different course, restoring hope with a new moral compass. We urge you to take it.
Baltimore City Hall
Dear Mayor Young,
You took office at a difficult time when our city needed bold leadership to restore public confidence that good government was possible. You did not take the decisive step of altering the Fiscal Year 2020 budget that you inherited from the previous mayor, even though, as you had fought against it as a City Councilmember.
The FY2020 budget was never an accurate reflection of the morals of our organizations or the needs of the people of Baltimore. For every general fund $1.00 spent on police, 53 cents were budgeted for schools, 15 cents for housing and community development, 13 cents toward human services, just over a nickel for jobs ($.06) and only one penny to address substance use disorder and mental health in Baltimore City.
In fact, Baltimore spends much more per capita on police than similar cities -- at least 25% more. In 2017, Baltimore spent $772 per resident, while Detroit spent $450, New York $581; and Houston $383. The FY2020 Budget increased that to $817 per resident per year. Over the 10 years, spending on the Police and Sheriff’s Departments has grown by 67%, from $317.2 million in FY2010 to $527.2 million in FY2020. It’s grown faster than the city’s overall General Fund, which increased by only 44% over the same time.
Meanwhile, twice as many people in Baltimore die annually from overdoses as compared to murder - which is also horrific. But if increasing police spending worked, Baltimore would be one of our nation’s safest city. Instead, we have been deemed the most dangerous by both the FBI and USA Today.
We need demonstrate different budget priorities. We are prepared to work to elect a mayor who can commit to a right-size Baltimore police budget. That would require moving 25% from policing to investments that will actually build a safe and thriving city. We know you're crafting your own budget right now. The list of needed, alternative investments is long: fully fund our schools, flood the streets with overdose reversal kits, create good jobs, particularly for residents who are formerly incarcerated or facing other roadblocks to meaningful, sustaining work. What values does your new budget reflect? We are watching.
You could build on the foundation of a budget that does not meet our needs, and does not reflect our values, or you could set Baltimore on a different course, restoring hope with a new moral compass. We urge you to take it.
CU has been working and impacting Baltimore's City budget by bringing our lived experiences to the table since 2013. We push, on an almost annual basis, to keep Community Schools funded, and are pressing now for equitable investment in the neighborhoods that have long been dumped in and polluted, disenfranchised, divested from, and over-policed.
With the absence of Mayor Pugh at exactly the time that the City Budget will need to be finalized and approved, we see an opportunity. We are taking our messages of hope to Ex-Officio Mayor Bernard "Jack" Young. He is in a unique position to change this budget for the better. We are asking him to do so. Add YOUR name to our letter ABOVE.^
Keep abreast of our actions here and on find, like and follow us on social media.
With the absence of Mayor Pugh at exactly the time that the City Budget will need to be finalized and approved, we see an opportunity. We are taking our messages of hope to Ex-Officio Mayor Bernard "Jack" Young. He is in a unique position to change this budget for the better. We are asking him to do so. Add YOUR name to our letter ABOVE.^
Keep abreast of our actions here and on find, like and follow us on social media.
People's Climate Movement
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CU is a proud partner of the People's Climate Movement.
PCM is a decentralized, leader-full group of organizations, activists, and residents working to build the New Energy & Economic Future by undoing environmental racism in Baltimore. Our table of partners meets regularly to support one another in our collective struggle by directing energies toward ongoing work. Keep up with PCM at BaltimorePCM.org! |
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Voter Registration & GOTV
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Voting rights are essential.
Got a felony? Now, you can vote in Maryland. An estimated 6 million people NATIONWIDE are barred from voting because of a felony conviction. In Maryland, however, everyone can vote, even with a record. Join our movement to #ExpandtheVote and help us register ex-offenders in Baltimore & Maryland! Sign up here! |
