Southern Maryland Boat Works

Drum Point Marine & Back Creek Boat Yard

Bilgerat Blog

Senate Bill 90

Posted by Katie on May 3, 2013 at 1:50 PM

Senate Bill 90 has been signed into law. This bill will put 0.5 percent of cash from the motor fuel tax into the Waterway Improvement Fund - which funds dredging, as well as other projects for the state's waterways.

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Senate Bill 90 also establishes a $15,000.00 vessel excise tax cap. Maryland's vessel excise tax requires boat owners to pay 5 percent of the value of their boat if they purchase it in the state of Maryland, or of they intend to keep the vessel in the State longer than 90 days per year. The bill directly affects the tax paid by owners of boats worth $300,000.00 or more.

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For the marine industry, this bill will create an incentive for boat owners to purchase and register their boats in Maryland. For every six boats that are registered, a full-time job is created. Ultimately, the expectation is that SB90 will attract larger and more expensive boats to Maryland, which in turn will lead to more opportunities for marinas. A boater typically spends 10% of the vessel's value annually for maintenance, storage and use.

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To learn more about Senate Bill 90 and how it may affect you, please visit http://www.mtam.org/.

 

 

 

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