SALISBURY, Md. - Tax relief could be coming to retirees in Maryland. Governor Hogan is pushing hard for new legislation that would eventually eliminate state retirement taxes. In past years, Governor Hogan has tried to get similar bills passed. Local retirees like Evan Padusi hope this time the bill gets through Annapolis.
“I definitely think it's needed, there are a lot of people right now with social security coming out, they just raised Medicare on us of course after the increase for the social security check, but I definitely think they need relief,” Padusi said.
The Retirement Tax Reduction Act would cut income tax in half in 2023 and exempt people from paying income tax in 2024 and beyond as long as they are receiving social security or at least 65 years old and not employed full time. Bill Cropper says with inflation rising, tax cuts can help people.
“I am happy to see that there are a lot of people out there that need it, especially with inflation and things that are going up,” Cropper said.
Lawmakers first introduced the bill back in January and a hearing was held on the bill Wednesday. The next steps would be second and third readings, before eventually going to Governor Hogan’s desk.