Montgomery County residents push back on proposed income tax hike
Montgomery County residents push back on proposed income tax hike
The Montgomery County Executive Marc Elrich is getting pushback on his idea to raise income taxes. It comes as local governments across our region are proposing bigger budgets, more spending and more taxes — all at a time when economists say the DMV’s economy could be headed for a fall. Similar concerns are widespread across the area.
MONTGOMERY COUNTY, Md. - The Montgomery County Executive Marc Elrich is receiving pushback on his idea to raise income taxes.
It comes as local governments across our region are proposing bigger budgets, more spending and more taxes — all at a time when economists say the DMV’s economy could be headed for a fall. Similar concerns are widespread across the area.
The Trump administration’s efforts to slash the federal jobs hits the DMV hard but at a time, residents are fearful about the future. Increased spending and bigger budgets by local governments are triggering new taxes and new worries by some who are afraid they can’t afford them.
RELATED: Washington Council of Governments warns Trump administration cutbacks could hit DMV hard
Proposal Pushback
What they're saying:
Montgomery County Executive Elrich canceled his idea to increase property taxes and now wants to raise the county income taxes to 3.3%. Already, some council members like Andrew Friendsen say they are opposed to the idea, saying not the time to raise taxes.
"The idea that we would swap one tax increase with another is really not a responsible approach to this and its retroactive tax increase in particular is extremely harmful," Montgomery County councilmember Andrew Friedson said.
Elrich says increased school costs are to blame but also told FOX 5 the council has been too generous with tax breaks for developers.
"You can’t give away money to developers and then complain about raising taxes. That kind of contributes to why we have to raise taxes," Elrich said.
RELATED: Income tax for Montgomery County residents could increase next year
Widespread Budget Frustrations
Big picture view:
Montgomery County is hardly alone when it comes to the blowback over taxes.
In Fairfax County, a $300 million budget shortfall could mean a slew of new taxes. Lawmakers there are looking at a 7.5% property tax increase, a 2% hotel tax and $60 million in cuts.
"We’re trying to find a middle ground where we’re adequately funding the services we need but that you only need at a time where resources are scarce," Fairfax Board of Supervisors’ Democratic Chairman Jeff McKay said.
Fed-up residents have packed budget hearings as county leaders say they must close the gap.
"The decision by the county to raise property taxes will only put homeownership out of the reach of more people," one meeting attendee said.
Prince George’s County isn’t immune from tax hikes either. The acting county executive described her own nearly $6 billion as "difficult" and it calls for property to increase $65 million or 6.5% over the next year.