Expanded Law Could Boost Statewide A&E Art Market
Expanded Law Could Boost Statewide A&E Art MarketJune 03, 2014Arts Across Maryland
At a May 15 ceremony in Annapolis, Governor Martin O'Malley, joined by House Speaker Mike Busch and Senate President Mike Miller, signed into law a bill that could broaden the statewide market for artists and their work and advance revitalization efforts underway in Maryland Arts & Entertainment (A&E) Districts.
Since 2001, 22 unique A&E Districts within 15 counties have been designated by the State of Maryland and are eligible for certain tax incentives. Gov. O'Malley's signature impacts the incentives that may be claimed by district artists by expanding the definition of "qualifying residing artist."
The original law required artists to create and sell their work in the same A&E District to be eligible for an income tax subtraction modification. Under the new law, qualifying A&E District artists will be exempt from paying taxes on art sales not only within the A&E District in which their art is created, but within any Maryland A&E District across the state, from Denton on the Eastern Shore to Frostburg, in Western Maryland.
A recent economic impact study shows that in the 2013 fiscal year, 20 Maryland A&E Districts collectively supported an estimated 5,144 new jobs that paid $149 million in wages. New jobs combined with A&E District festivals and events supported more than $458 million in state GDP and $36 million in state and local tax revenue.
Pictured, left to right: Senate President Mike Miller, Staff Assistant to Senator Catherine Pugh, Sen. Catherine Pugh, Maryland Governor Martin O'Mally, MSAC A&E District Program Director Pamela Dunne, House Speaker Mike Busch.