Tax committee votes “ought to pass as amended” on water tax bill to study issue

On Tuesday, May 25, the Joint Standing Committee on Taxation voted 7-5 along party lines “ought-to-pass as amended” on LD 1569, An Act Regarding an Excise Tax on Water Extracted for Commercial Bottling. Sponsored by Rep. Lori Gramlich (D-Old Orchard Beach), the bill as amended would turn the bill into a resolve and initiate a study of imposing a tax on water extracted for commercial bottling use.

Committee discussion indicated that the presiding officers would convene the legislative study, although no definitive parameters were discussed.  Republicans on the committee voted “ought not to pass” on LD 1569 as amended, while Democrats supported the proposed study. The bill proposes a 5-cent per gallon excise tax on water extracted for commercial bottling use.
 
The Maine State Chamber testified in strong opposition to the bill last week. If you have any questions, please contact Linda Caprara by calling (207) 623-4568, ext. 106, or by emailing lcaprara@mainechamber.org.