Senator Jeff Howe (R-Rockville) presented legislation in the Senate Tax Committee that would provide a sales tax exemption for construction materials and supplies used in St. Joseph’s Jacob Wetterling Community Center. Purchases made after September 1, 2022 and before January 1, 2025 would be covered under this language, and sales tax would be paid at the time of purchasing materials, but would then be refunded.
Under current law, sales to and purchases by local governments are exempt from sales tax. However, this exemption does not apply to construction materials purchased by a contractor buying supplies for use in projects under certain political subdivisions.
“The St. Joseph community has been waiting on the construction of the Jacob Wetterling Community Center since 2015, and this bill will help move the project one step closer to completion. Not only will this language help the project get on track for construction to begin later this year, but it will also reduce taxes on local taxpayers involved in the project,” said Howe.
The bill was laid over.