O'Malley supports increasing sales tax to 7 percen
- Thread starter JOKER
- Start date
Larry Gude
Strung Out
C
czygvtwkr
Guest
Not sure about now but my parents use to take me to Pittsburgh to shop for school clothes because they didn't have any sales tax on clothes.
H
Hodr
Guest
According to Salary.com a plumber in Pittsburgh, PA makes more than a plumber in California, MD. A network engineer in Pittsburgh, PA makes 97% of what a network engineer makes in California, MD.
So, it sounds like the jobs are pretty much a wash. That greater median household income you keep mentioning is because there is a greater concentration of higher income type jobs in Southern Maryland. Moving across the border will not suddenly make your income level jump by a similar amount.
If I were to move to PA (presumably to work full time in similar employment) I would make the same amount of money, but enjoy less taxes and could afford a nicer house with a lower mortgage.
So, it sounds like the jobs are pretty much a wash. That greater median household income you keep mentioning is because there is a greater concentration of higher income type jobs in Southern Maryland. Moving across the border will not suddenly make your income level jump by a similar amount.
If I were to move to PA (presumably to work full time in similar employment) I would make the same amount of money, but enjoy less taxes and could afford a nicer house with a lower mortgage.
NorthBeachPerso
Honorary SMIB
That's still the same.
Pittsburgh, yes. In much of the state (keeping in mind that PA is one of the most rural if not the most rural state in the US) the wage rates aren't that high. My brother was a plant engineer for a company up near Williamsport and top journeyman rate at that plant was a hair over $14/hour for a mouldmaker. That was the highest rate in the factory. It was also a union shop.
One place I worked at 35 years ago making bottle caps is still in operation. I have a buddy who just retired about 3 years ago and his top electrician's rate was around $22/hr without shift differential. He was there about 35 years. The bottle plant I worked at for the same company shut down last year and their rates were similar.
Last edited:
C
czygvtwkr
Guest
NorthBeach, cool you mentioned mouldmaker, my father was a mouldmaker for a plant in Washington PA. Dad was also union president and a national rep that helped form their contracts. Their rates were the same for mouldmakers everywhere in the United States, as with all other union positions in the AFGWU.
The real kicker is the availability of jobs. I interviewed for jobs in the Pittsburgh area when I was getting close to graduating college and they didn't pay quite as well as engineer jobs in more expensive areas.
garyt27
INAFJ
It's the Maryland Way, tax and spend, they hate to take a look at the friggin waste of moneys around the various agencys, it's a good ole boy thing. SHA is big waste of funds. I know this firsthand. Pay the Bay bridge administrator $100k, give him an expensive car to drive and pay for the fuel, to drive back and forth from Delaware! Where he lives. This kind of crap goes on all around the state, but they don't mind cutting a teachers measly benes.
Maybe Maryland should be more friendly to online business (or any business), and coax those companies to reloacte here. Maryland could easily offer more business incentives, and coax businesses here. Jobs they would create, and extra tax base that comes with it would be more than $200 million. Instead O'malley has decided that the sliding tax scale he put in that sticks it to millionaires is not enough. Now he wants to further stick it to anyone who makes over $100K (See link below). There are plenty of small business owners and regular people who make over $100K who are not "rich". Yet we live in a world where being successful is punished with higher tax rates than everyone else. And people wonder why business and well off who can find a way are fleeing the state. Ironically the governors way of increasing jobs is to spend $300 million on new school construction. Never mind those are temporary jobs, and that is money that could easily be saved for a year.
O'Malley's Budget Targets Maryland's Highest Earners - Southern Maryland Headline News
Larry Gude
Strung Out
Maybe. As I pointed out, with BCP's help, above, Maryland brings in $3.5 billion with the 6% rate so, that is about $500 million per percentage point which, obviously, dwarfs the $200 million. And that $200 mil in online sales is the gross number. 6% of that is only $12 mil the state would potentially lose. I'm all for cutting taxes to promote business but, it's a hard thing to do when the motivation, the dollars in to the state, are so large and the forces in favor of higher taxes being the solution are so strong.
glitch
Devil's Advocate
Montgomery and Calvert have us beat by a large margin.
List of highest-income counties in the United States - Wikipedia, the free encyclopedia
PA taxes are a little more complicated in that you have several different taxing authorities to work with:
State has sales and income: Income tax rate is low, also has exclusions for pensions. Sales tax is 6% but some areas are allowed to add an additional 1% (or maybe 2%) on top. There are exclusions; food (but not snacks and soft drinks), clothing and LEATHER accessories are itmes which are not subject to sales tax.
County Government: real estate tax but usually very small millage and combined iwth township tax. I believe it's the county that can collect on the personal property tax but most don't bother with it.
Township / Burroughs: Real estate tax and can split earned income tax with schools.
School Districts: Real Estate Tax, this is usually the biggest bite, typically it's significantly higher then what the County/Township takes (like 6 times or more). We were paying the County/Township $800 and the school district got around $3500. Schools can also levy a earned income tax of 2% but it has to be split with local governments.
There are nuiscance taxes as well. Occupational Priviledge tax, like $10 out of your pay check and it depends on where you work (not live). Our school district had an occupation tax, based on your job title. Amazingly lawyers paid the lowest amount, less then a clerk / typist.
The biggest difference between Maryland and PA is who is taking the money and the accountability. The largest chunk is taken by YOUR local school system. The tax rate, or millage, is set by the ELECTED school board.
While the state kicks in funding, it's a set amount based on the number of students. The schools are run locally, not by some state mandate. One of the reasons the local taxes are high is that teachers in PA were unionized back in the early 70s, given the right to strike. That law has been amended a little but they can still strike. Teachers are well paid, they have no problem recruiting highly qualified professionals.
Again, the vast majority of my tax money went to my local schools and government. Services I saw and used. It makes it a little easier to swallow.
State has sales and income: Income tax rate is low, also has exclusions for pensions. Sales tax is 6% but some areas are allowed to add an additional 1% (or maybe 2%) on top. There are exclusions; food (but not snacks and soft drinks), clothing and LEATHER accessories are itmes which are not subject to sales tax.
County Government: real estate tax but usually very small millage and combined iwth township tax. I believe it's the county that can collect on the personal property tax but most don't bother with it.
Township / Burroughs: Real estate tax and can split earned income tax with schools.
School Districts: Real Estate Tax, this is usually the biggest bite, typically it's significantly higher then what the County/Township takes (like 6 times or more). We were paying the County/Township $800 and the school district got around $3500. Schools can also levy a earned income tax of 2% but it has to be split with local governments.
There are nuiscance taxes as well. Occupational Priviledge tax, like $10 out of your pay check and it depends on where you work (not live). Our school district had an occupation tax, based on your job title. Amazingly lawyers paid the lowest amount, less then a clerk / typist.
The biggest difference between Maryland and PA is who is taking the money and the accountability. The largest chunk is taken by YOUR local school system. The tax rate, or millage, is set by the ELECTED school board.
While the state kicks in funding, it's a set amount based on the number of students. The schools are run locally, not by some state mandate. One of the reasons the local taxes are high is that teachers in PA were unionized back in the early 70s, given the right to strike. That law has been amended a little but they can still strike. Teachers are well paid, they have no problem recruiting highly qualified professionals.
Again, the vast majority of my tax money went to my local schools and government. Services I saw and used. It makes it a little easier to swallow.
msqtech
Citizen
Taxing taxes
Well if we pay sales tax on our gasoline purchases, would we get to exclude the excise tax, or would we be paying tax for the tax we paid?
How bout we start paying sales tax on our electricity and water after all we obviously are losing money by not paying sales tax there!
Every one of these proposals for increase hurt the lowest paid among us. Most of these proposals past and present are regressive taxes.
What happened to the promised savior of gambling taxes?
I propose we stop the Stadium authority from collecting money and turn that money over to the general fund and stop increasing fees?
When you make it cost to much to do something with fees you actually end up with less money and more violations!
Well if we pay sales tax on our gasoline purchases, would we get to exclude the excise tax, or would we be paying tax for the tax we paid?
How bout we start paying sales tax on our electricity and water after all we obviously are losing money by not paying sales tax there!
Every one of these proposals for increase hurt the lowest paid among us. Most of these proposals past and present are regressive taxes.
What happened to the promised savior of gambling taxes?
I propose we stop the Stadium authority from collecting money and turn that money over to the general fund and stop increasing fees?
When you make it cost to much to do something with fees you actually end up with less money and more violations!