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Smitherman, Laura
McClatchy - Tribune Business News, 03/2007Newsletter
The Maryland House of Delegates passed legislation yesterday aimed at ending what Majority Leader Kumar P. Barve called the "most gigantic tax loophole on the books," referring to a strategy mostly used by big-ticket real estate developers that critics say costs the state tens of millions of dollars. Del. Gail H. Bates, a Howard County Republican, also said the bill doesn't fully close the loophole because deals could still be structured so as not to trigger a tax bill. Barve conceded that "skillful lawyers and accountants" might still try to avoid taxes in real estate transactions but that this would only be in limited cases. And, he said, that shouldn't deter the legislature from trying to stop them.
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