Bill Positions

Bill Number: HB 92

Bill Title: Labor and Employment - Job Creation and Recovery Tax Credit

Bill Sponsor(s): Speaker (Admin.) et al

Subject: Budget & Taxation

Committee: W&M

Bill Summary: This bill would provide a $3,000 income tax credit to employers that hire an unemployed Maryland resident during calendar year 2010 into a full-time position that is new or has been vacant for at least 6 months. Employers would obtain certification for the credit by submitting required documentation to DLLR, then claim the credit when filing their income tax return. If the employee works less than a year the credit would be pro-rated. Total credit amounts are capped at $250,000 per employer and $20 million for the total program.

History:

Chamber Position: Support w/Amend

Position Summary: We are appreciative of the Governor's efforts to put Marylanders back to work. There are many existing state programs that could promote job growth if they were allowed more funding, including road projects, and DBED loan and grant programs. We are concerned that the bill in its current form may provide inadequate incentive for businesses to hire new employees. Therefore we suggest that the maximum credit amount be increased to $5,000 per new hire, while retaining the overall spending cap of $20 million.

Position Statement: To view the Chamber's complete position statement, click here (pdf).

Chamber Staff: Ronald Wineholt

General Assembly: Click here to view the bill on the Maryland General Assembly's website.