Maryland legislators must trim state taxes to 2005 levels for the state to compete effectively for new business and investment, according to Donna Arduin, a partner at Arduin, Laffer & Moore Econometrics. She spoke, along with former Govs. Marvin Mandel and Robert Ehrlich, at a policy forum hosted by the Maryland Public Policy Institute (MPPI) Monday in Annapolis.

Arduin said Maryland could command higher taxes because of its close proximity to Washington and the jobs and political clout that brings. But she said the new taxes implemented in 2008 make Maryland uncompetitive with neighboring states and the rest of the U.S., and they will deter investment and the state’s ability to attract skilled workers. Over time, those taxes will push workers and wealth to states with better tax climates, she said.