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11:46 am
Thu May 23, 2013

MD Attorney General Mulls Appeal in Piggyback Tax Case

Maryland Attorney General Doug Gansler
Maryland Attorney General Doug Gansler
Credit Official photo

BALTIMORE (AP) - Maryland Attorney General Doug Gansler is considering whether to appeal a tax decision by the state's highest court.

If the court decision stands, Gansler says it could cost local governments between $40 million and $50 million annually.

Maryland's Court of Appeals ruled in January that the state must offer credits to taxpayers whose out-of-state income is subject to local piggyback taxes, but granted a stay. The court rejected Gansler's request to reconsider last week and he has 90 days to decide whether to appeal to the U.S. Supreme Court.

The 2006 lawsuit brought by Brian and Karen Wynne of Howard County argues that the county was double taxing them. Gansler's office argues that the piggyback tax is a feature of interstate commerce and the Court of Appeals overreached.