09/01/2026
Maryland estimated that the 3% Technology Tax would bring in approximately $500 million. In 2025, I debated that the general assembly made a mistake in 2007 with taxing tech services and came back for a special session to reverse it.
One company had to pay $15K more a month. We are a technology capital. Why would the supermajority push forward a revenue-seeking tax that punishes such a stable industry in Maryland? I wonder what impact it had on retaining federal employees.
Maryland’s new IT services tax raised $112.8 million in its first year — $387 million below initial projections — while businesses say they are already absorbing higher costs and compliance burdens.