Tonight, the Revenue Subcommittee of the House Ways & Means Committee killed House Bill 1628 – Sales & Use Tax – Rate Reduction and Services (Del. Luedtke et al). On Monday of this week, MSBA President Dana O. Williams, testified against the proposal on a panel which included Dwight Stone, President of Maryland Defense Counsel, and Kelly Donohue of the Maryland Association for Justice. That legal community panel gave the Ways & Means Committee a brief but comprehensive explanation of the negative impact of taxing legal services, in terms of its impact upon access to justice, the administrative burden on solo & small firm practitioners, the potential competitive disadvantage for large law firms, and multitude of consequences affecting contingency fee agreements and injury awards.
The MSBA Advocacy Team appreciates all of the support from MSBA members who have contacted their legislators, and have spread the word on the potential negative impact of HB 1628! Details on how individual Ways & Means Subcommittee members voted will be posted as soon as that information becomes available.