“It’s all about keeping the dollars local:” Tourism tax credit bill could financially help Maryland if passed
MARYLAND- Legislators are trying to drive up tourism by encouraging Marylanders to stay in the state.
The Tourism Tax Credit Bill was heard in the Senate Tuesday. If passed, people could claim a credit against their State income tax for certain travel, hospitality, and entertainment expenses.
“We see this as a way to stimulate our economy, its a way to drive tourism, and again its all about keeping the dollars local,” Susan Jones, Executive Director of the Ocean City Hotel Motel Restaurant Association, said.
Senator Mary Beth Carozza, a lead co sponsor of the bill, said this bill could give a real boost to the tourism industry as it’s been hit hard by the pandemic.
“The state of Maryland has lost 34,000 jobs in the tourism areas from February to November of 2020,” Sen. Carozza said.
While we are told this bill could be a positive thing, Carozza said some opponents may say it could be costly for the state.
“We recognize that when you provide tax credit that it does have a fiscal impact, so we have offered an amendment to bring the overall number of tax credit amount down,” Sen. Carozza said.
“So to that point we say well it’s also going to generate the room , the admission, the amusement, the sales, and the alcohol tax,” Jones said.
This bill is crossfiled with a bill in the House right now, and that will be heard Friday.
Carozza and Jones said they know people are going to be ready to travel soon, so this bill could encourage Marylanders to spend their vacation money in Maryland.