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Home Local Maryland Government Announcement Originally published February 07, 2011

Franchot Announces Special Tax Break for Qualifying ENERGY STAR Products



-Sales Tax to be Waived on Certain Appliances From February 19 to 21-

Annapolis, Md. (February 7, 2011) – Comptroller Peter Franchot today announced a special tax break on certain ENERGY STAR appliances later this month. Dubbed “Shop Maryland Energy,” the Comptroller unveiled the tax-free weekend at a series of events featuring support from the Maryland Retailers Association, Maryland Energy Administration, Maryland Department of Environment, Department of Natural Resources, and several state and local officials. During the weekend of Saturday, February 19 through Monday, February 21, Marylanders who purchase qualifying ENERGY STAR products will be spared the states 6 percent sales tax.

“Shop Maryland Energy will offer great deals for consumers, boost sales for Maryland retailers, and promote energy efficiency and environmentally-safe products,” said Comptroller Franchot. “In these tough economic times, consumers and small businesses deserve a break,” he added.

Resulting from legislation passed in the 2007 special session of the Maryland General Assembly, this tax-free weekend will occur every year during the Saturday immediately preceding the third Monday in February until the third Monday of February, or until legislative amendment. According to the legislation’s fiscal note, sales tax revenues could decrease by $563,300 in fiscal year 2011 and $591,500 in fiscal year 2012.

During Shop Maryland Energy weekend, air conditioners, clothes washers, furnaces, heat pumps, standard size refrigerators, compact fluorescent light bulbs, dehumidifiers, and programmable thermostats that have been designated as meeting or exceeding the applicable ENERGY STAR efficiency requirements developed by the U.S. Environmental Protection Agency and the U.S. Department of Energy will be tax-free. Solar water heaters are now tax exempt year round.

“The 2010 tax-free week for apparel and footwear was very successful and we expect the tax-free weekend for ENERGY STAR appliances to be equally successful,” said Patrick Donoho, president of the Maryland Retailers Association. “This tax-free weekend has two great benefits for working families in Maryland. First, it will provide much needed tax relief to families who purchase qualified appliances. The savings are significant---six percent on high ticket items. Second, it will provide ongoing energy savings to these families through lower energy bills.”

The ENERGY STAR label was established to reduce greenhouse gas emissions and other pollutants caused by the inefficient use of energy. The label makes it easier for consumers to identify energy-efficient products that offer savings on energy bills without sacrificing performance, features, and comfort. A list of ENERGY STAR items may be found at: www.energystar.gov.

For more information, visit the Comptroller of Maryland's Website, www.marylandtaxes.com , e-mail shopmaryland@comp.state.md.us, or call 410-260-7980, toll-free, 1-800-MD-TAXES.