While speaking before an audience at the Maryland SBA Small Business Awards Program, Comptroller Peter Franchot indicated that Maryland will be facing a budget shortfall this year as revenue from capital gains and estate taxes is falling short of projections.
As reported by the Baltimore Business Journal, the Comptroller did not give specifics, but offered the following explanation.
He explained that taxes from the sale of stocks, property and transfer of estate wealth are expected to fall precipitously this year. Last year, Maryland collected $234.6 million from estate taxes, up from $196.7 million the year before, according to state budget figures.
Franchot said the increase in 2013 came from people selling off stocks because they were worried about increases to the federal estate tax as sequestration loomed.
But a decrease in estate taxes could increase in the future.
Official revenue estimates will not be released by the Comptroller’s Office until September.