Evening star., 1949-02-02
Delegates 10 Gel
Bill 10 Modify
StateSaIes Tax
Exemption Proposed
For Restaurant Food
Sold in Maryland
BY q Stor StofF cerrespendent

ANNAPOLIS, Feb. IA bill Il
exempt food sold in restaurant
from the Maryland sales tax was I.
be introduced today in the Hous,
Of Delegates.
In the Senate, action is expected
on a report from its Finance Com
mlttee on a House-approved meas
ure to keep the tax on earned in
come at at 2 per cent. The rate i
scheduled to 60 up this year to ~
per cent on 1948 income.
The sales tax exemption bill i
sponsored by Delegate John r
Reeves, Republican, of Montgomer,
County. A similar measure was sub
mltted by Mr.. Reeves at the 1874
special session but was defeated
and Democratic leaders predicted 6
similar fate for the present bill
IL Is the second attempt to amenc
the sales tax at the 1949 session
Delegate Albert L. Sklar, Democrat
OF Baltimore, last week submitted
bill to exempt household fuels
from the per cent tax
Mr.. Reeves claims the present pro-
vision exempting only food sold TO,
consumption at home, works a hard
snip on persons living away from
nome who must eat in restaurants
speedy Senate action is expected
on the income tax bill in view of an
appeal yesterday by State Comp
troller James J. Lacy.
Mr.. Lacy told the Senate Finance
Committee quick action is necessary
to halt confusion among the tax
payers" Deadline for payment Of
State income taxes is April Is.
Lane Supports Bill.
Gov. Lane indicated his support
OF the bill in his budget message
last week when he said revenue
estimates were based on the 2 pel
cent rate.
Mr.. Lacy said 500 taxpayers al
ready have filed returns based on
the 212 per cent rate, which would
mean 800 claims for refunds right
there" He added his Office has
been jammed with queries.
The bill was reported out favor
ably last week but was sent back
10 committee at the request OF
Chairman Sothoron for study o1
proposed amendments.
One of the amendments. spon.
sored by Senator Edward D. Storm
Democrat, of Frederick County
would reduce the rate of investment
come from to per cent on the
-.rst $1,000.
A bill is now pending In the
ouse to cut the investment income
x from S to 2 per cent on the
rst $1,000.
The second proposed amendment
the income tax bill would repeal
'2 provision requiring nonresidents
pay taxes on income earned In
sryland.
Sanatorium Affected.
Senator Sothoron of Prince
3orges County, who sponsored this
oposal, which affects Washing
III residents working in Maryland,
id he may include it in a sep
late bill.
During the hearing, Senator
5othoron also said he will seek to
exempt employees at the District
of Columbia tuberculosis sanatorium
at Glen Dale from the State income
tax.
He said between 400 and 500 en-
ployes at the sanatorium have
complained very bitterly" of pay
inO MARYLAND inoproo foves mail,
being refused permission to send
their children to Maryland schools
without charge.
The Finance Committee also
heard motor industry spokesmen
urge approval of a bill providing
for semi-annual motor vehicle in
spectlons at State-operated stations
j. Cavendish Darrell of the Mary
land Auto Trade Association, sais
Maryland has become a dumpin,
ground for jalopies not fit to driv,
in other States.
Elgin Puts Cost at S1,2O0, 900.
He was supported by Motor We.
hicle Commissioner w. Lee Elgin
who estimated it would cost 81, 200,
600 to set up a Statewide network
of % inspection stations, plus tn,
annual cost of maintenance and sal.
aries for some $50 employees. The
plan would be financed by 81 inspec.
ton fees.
Senator Storm submitted a bill
reportedly desired by the Montgom.
cry County Board of Education, tt
extend condemnation rights for pro.
posed school sites from 10 to q
acres. The measure would be State.
wide.
Montgomery school officials have
claimed they are being held up in
the acquisition of school sites as a
result of the present 10-acre limit
Delegate Oliver r. Guyther
Democrat, of st. Marys County
submitted a bill to freeze the tax
on corporation income at IL per
cent. The rate jumped to per
cent January on 1948 income.
Delegate Dewitt S. Hyde, Repub-
lican, of Montgomery County, SUBJ
mitted bill permitting dog owners
to sue for the death or injury oi
their pets just as in the case ol
destruction of other personal prop.
erty.