SILVER SPRING, Md. – Maryland lawmakers agreed Thursday on a new budget aimed at addressing the state’s significant budget shortfall. 

What we know:

The budget plan reportedly includes tax increases on the wealthy, individuals making over $500,000 per year, as well as hikes in taxes on gaming, cannabis, and a new 3% tax on IT and data services.

The budget framework also calls for an additional $500 million in cuts, in addition to the $2 billion in cuts proposed by Maryland Governor Wes Moore. Some proposed taxes, including those on delivery fees, sugary drinks and snacks, and a few other items, have been excluded from the plan.

Big picture view:

Moore has raised concerns about the potential impacts of federal funding cuts, emphasizing that Maryland would be more affected than other states. He outlined the budget’s three primary goals: reforming the state’s tax code, growing Maryland’s economy, and investing in residents.

Moore has stated that the new budget focuses on spending cuts rather than tax increases, and most Maryland residents are expected to either receive a tax cut or see no change in their taxes.

House Republicans have issued a statement condemning the budget, accusing Democrats of engaging in a “tax-and-spend” approach and claiming that they have not provided a long-term solution to the state’s budget issues.

Local perspective:

Some residents expressed mixed reactions to the budget plan. 

“A lot of times you have people and lawmakers who have never been in a position where they need help… but we are,” said Katrina Carter of Silver Spring.