Md. Senate Democrats Eye Tax Raises To Avoid Cuts

ANNAPOLIS, Md. (AP) - Maryland Senate Democrats looking to avoid deep budget cuts said Thursday they are discussing a package of tax hikes.

Early talks among the Senate's liberal members have focused on combining proposals to raise the gas tax by 10 cents a gallon, increase the alcohol tax by a dime on each drink sold at restaurants and stores, improve business tax collections and reinstate a "millionaire's tax."

Such a package could cobble together enough political support to pass the Senate and soften the blow from massive cuts that Democratic Gov. Martin O'Malley has proposed to help close a projected $1.4 billion budget gap.

"When you add different revenue measures, together you lose some people and you pick up some people.
You essentially have to see who is willing to support how many of them," said Sen. Paul Pinsky, D-Prince George's. "In other words, there might be people who like the gas tax who don't like the millionaire's tax, so when you when you add the millionaire's tax, they peel off."

No formal plan has been drafted and the pieces are still moving as supporters eye how to get the 24 votes needed to advance a measure, Pinsky said.

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