Senate leaders meeting with a Howard County business group, spoke about the likelihood of legislation passing in the upcoming session to provide tax relief to small businesses, increase the minimum wage, and repeal the stormwater management fee that applies to 10 jurisdictions. As reporter by MarylandReporter.com:
Speaking to a Howard County Chamber of Commerce breakfast, Sen. Ed Kasemeyer, chairman of the Budget and Taxation Committee, said that a work group of his committee wants to “do something” on the subchapter-S small business pass-through tax rate. Pass-through tax businesses pay tax on business income at the individual rate.
Subchapter-S corporations are set up so that the corporation’s earnings are not taxed, but are distributed to individual private owners, who then pay personal income tax on the earnings.