Posted on 03/06/24
| News Source: FOX45
Annapolis, MD - Mar. 6, 2024 - Maryland lawmakers are considering taxing you for most packages that show up at your house to make up for a multi-billion dollar shortfall in the state’s transportation budget.
HB1215, introduced by Delegate Marc Korman would impose a 50-cent fee on most online purchases and home deliveries.
Lawmakers are calling it a “road impact fee” and hope it would fill a more than $3 billion dollar shortfall in funding the state’s transportation plan.
“We know from the data the delivery vans and trucks are tearing up our roads and the impact is actually higher than if people just drove themselves to the market,” he said.
Korman says the fee would apply to most transactions whether it be Amazon, FedEx, UPS, or USPS.
“When you go on to your favorite website and start filling the cart at the bottom of that transaction you’ll see the sales tax levied and then this road impact fee, for your cart. You have no issue if it’ll be multiple shipments, no issue to you on that just 50 cents for your cart,” he said.
There’s concern from consumers that 50 cents per package will add up fast.
“It feels really small but it shouldn’t be overlooked the effect that it could have. It feels strange that it’s falling on the consumer and not the storefront,” said Holden Wolf.
There’s also concern for small businesses and low-income communities, but some say if the money is used wisely on transportation projects across the state it may be worth it.
“As long as the money is allocated to the right place I think it’s a good tax,” said Ray Wolf.
The fee does not apply to tangible personal property such as food and medicine that is exempt from the sales and use tax currently.
This bill has gone through a first reading and has been referred to the committee.