Maryland Legislature Mulls Bill To Provide Tax Credits For Newsroom Jobs

Maryland has joined the parade of states that would provide tax credits to support job creation in journalism.

The proposed legislation, HB891, would provide credits of up to $25,000 a year for employees in their first year at local media organizations.

The bill was introduced by delegates Joe Vogel (D) and Linda Foley (D). 

As written, the legislation provides tax credits for “25,000 of the wages paid to each full-time local newsroom for the first taxable year."

In addition, it would provide “$15,000 of the wages paid to each full-time local newsroom employee for each subsequent year.”

The bill defines local newsroom as a news organization that:

  • Primarily covers local communities in the state
  • Employs at least one full-time local newsroom employee
  • Has been publishing or broadcasting news for at least one year
  • Carries a media liability insurance policy at all times during a taxable year 

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“Tax credits to support journalists is the best way we can stem the losses of news jobs across the U.S. and Canada,” says Jon Schleuss,  president of the NewsGuild-CWA union. "We strongly support these target tax credits that will help retain current journalists and support the hiring of more journalists.” 

New Mexico also recently introduced such a bill. Under its provisions, publishers may claim a credit equal to 30% of wages paid to each journalist, with a cap of $4 million per year, according to the bill introduced by Senator Peter Wirth (D-Santa Fe.   

New York State passed a budget year that included the Newspaper and Broadcast Media Jobs program, believed to be the nation’s first. The measure is designed to “strengthen local news coverage by creating a $30 million tax credit to hire and retain journalists,” said State Senator Brad Hoylman-Sigal (D), co-sponsor of the Local Journalism Sustainability Act.

A proposed Illinois law, Senate Bill 3953, would provide a tax credit of up to $25,000 for each reporter on the payroll, and up to $30,000 for new journalistic hires. 

And a California bill, SB 1327, would take the statewide sales and use tax rate of 7.25% and apply it to total advertising revenue above $2.5 billion. 

 

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