1969]                   OF THE HOUSE OF DELEGATES                       95

Report of
MARYLAND BOARD OF REVENUE ESTIMATES

On

ESTIMATED MARYLAND REVENUES

FISCAL YEARS ENDING

JUNE 30, 1970

And
JUNE 30, 1971

Submitted To

GOVERNOR MARVIN MANDEL
DECEMBER 11, 1969

REPORT OF THE BOARD OF REVENUE ESTIMATES

ON ESTIMATED MARYLAND REVENUES FOR THE

FISCAL YEARS 1970 AND 1971

Inasmuch as the State Budget for the Fiscal Year Ending June 30,
1971 is now being prepared by Governor Marvin Mandel for submission
to the General Assembly on January 21, 1970, the Board of Revenue
Estimates has now established new estimates of State revenues for sub-
mission to the Governor for his use in its preparation.

The new estimates cover the current Fiscal Year Ending June 30,
1970 and the next Fiscal Year Ending June 30, 1971, and are based on
study by the Board of all information obtainable on the current National
and State economic factors affecting the flow of State revenue.

Revenues for the Fiscal Years 1970 and 1971 will, as in other years,
be influenced by business and economic trends but also at this particular
time by significant changes in the tax statutes made by the General
Assembly during its regular 1969 session. The chief current changes in
the tax structure are as follows:

(1)  Retail Sales and Use Taxes

An increase from 3% to 4% bracket rates as of June 1, 1969.
Elimination of exemptions for soap, ice and other items, effective
June 1, 1969.

(2)   Motor Vehicle Titling Tax

An increase from 3% to 4% effective June 1, 1969. The addi-
tional revenue from the 1 % increase will go to the General Fund,
but the original 3% tax revenue will continue to be dedicated for
the Highway Fund as previously.