Gov. Martin J. O’Malley is proposing that the six percent state sales tax apply to gasoline sales at your local filling station. The tax would be imposed instead of the 15-cent gasoline tax proposed by a blue ribbon transportation commission last year. Some highlights:
• The sales tax would be phased in over three years, two percent at a time.
• The tax would be collected on the retail price of the gasoline minus any state and federal gasoline taxes already reflected in the price. Currently the state imposes a 23.5-cent tax and the federal government collects 18.4 cents a gallon.
• The sales tax would not be applied to home heating oil.
• The cash collected, estimated at $613 million per year when the tax is fully imposed, would be used for transportation projects and maintenance of bridges and roads.
Maryland State Senate President Thomas V. “Mike” Miller calls it “a tough sell.” What do you think? We’ll print some of the printable comments next week.
—Jacqueline Watts, editor