Committee votes to ax computer tax

The Senate Budget and Taxation Committee voted 10-5 to repeal the 6-percent computer services sales tax they had passed in November. The senators voted to replace half of it with a three-year surcharge on incomes over $1 million, and also moved $50 million out of the transportation fund. They also told the governor to come up with another $50 million in budget cuts.

Several senators said they didn?t like the income tax increase and would have preferred to see more spending cuts, but they found the tech tax even more damaging to Maryland?s economy.