The Maryland House of Delegates Approves the RELIEF Act, (Recovery for the Economy, Livelihoods, Industries, Entrepreneurs and Families Act)

Dear Fellow Residents of District 26,
The Maryland House of Delegates on Friday approved the RELIEF Act, (Recovery for the Economy, Livelihoods, Industries, Entrepreneurs and Families Act), which provides over $1.5 billion in pandemic relief. The RELIEF Act will infuse the State’s economy with $509 million and provide over $1 billion in tax relief and credits to Marylanders, as we continue to fight the COVID-19 scourge that has crippled our state for the last year. Though this legislation will not undo the pain and suffering that all Marylanders have endured, it will provide relief for every one in our great State. 
The Governor is expected to sign this legislation on Monday, which will take effect immediately.
As the legislative session proceeds, we will debate many other innovative measures to provide relief from the Covid-19 crisis. I will continue to do all that I can to provide assistance, to you, my constituents.

With kind regards,

How the RELIEF ACT will help Marylanders    

Maryland becomes the highest state in the nation for its earned income tax credit, which puts cash in the pockets of low income Maryland taxpayers. Specifically, the credit is raised to 45% of the federal credit amount – which will, on average, provide families with children up to $730 more for a total of nearly $1,700.

Maryland also raises its earned income tax credit for individuals with no children from nearly $100 to $530.

Unemployment insurance payments will be exempt from the State income tax, keeping over $225.0 million in the pockets of unemployed Marylanders. Marylanders who qualified for the earned income tax credit in 2019 will be provided with stimulus payments of up to $500, putting over $175.0 million immediately in the hands low–income individuals and families.

Allows small businesses to keep sales tax collections of up to $9,000 over three months·      Helps up to 100,000 small businesses & nonprofits to defer paying unemployment insurance taxes until the first three months of 2022 to help cash flow (they employ ¼ of MD workforce) Layoffs will not impact an employer’s experience rating for FY20 and FY21o  MD will take a low interest loan from the federal government to replace payments to the UI Trust Fund 

Forgives MD taxes on COVID loans and grants Minority and Small Business Loans (MSBDFA): Converts up to $50,000 in Equity Participation Program loans to grants

This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.