County Executive Marc Elrich is advocating for higher taxes on commercial properties in Montgomery County, Maryland, drawing inspiration from Virginia's tax policies. Since 2007, Virginia has allowed higher commercial property tax rates specifically to fund transportation projects, with Arlington and Fairfax charging 12.5 cents per $100 of assessed value. In contrast, Maryland mandates uniform tax rates for both residential and commercial properties, which limits the flexibility that Elrich seeks.
Elrich's proposal highlights a significant difference in tax structures between the two states, particularly in income tax rates. Virginia's income tax stands at 5.75%, while Montgomery County's rate is notably higher at 8.20%. Additionally, Virginia does not impose energy taxes, which further differentiates its tax landscape from that of Montgomery County.
Another area of divergence is in housing policies. Virginia does not have rent control, a measure that Elrich supports, indicating a more market-driven approach to housing. Furthermore, Virginia's aggressive approach to transportation projects contrasts sharply with Elrich's opposition to several local initiatives aimed at improving infrastructure. The state also imposes strict deadlines on development approvals, a practice that has not been adopted by Elrich's administration.
Moreover, Elrich has expressed opposition to abolishing exclusive single-family zoning, a move that some jurisdictions in Virginia have embraced to promote more diverse housing options. His focus on increasing taxes appears to overlook other Virginia policies that have successfully fostered economic growth and development. This comparison raises questions about the effectiveness of Montgomery County's current tax strategies and their impact on local economic vitality. [be9aea45]
