Exempt a Fee for a Paper or Plastic Single-use Carry-out Bag from Tax

Last updated: Jun 9, 2015

Details about this bill
Category: Environmental
Status: Passed
Sponsor: Senator Tom Saviello, Senate 18 - Oxford County
Session: 127
Bill #: LD 590

Position:

Support. This bill is an emergency measure to clarify that bag fees are not taxable under Maine statutes.

UPDATE 6/9/15: Governor LePage vetoed the bill BUT the Senate voted 35-0 to override and the House voted 102-38 (94 votes needed) to override. The bill is officially law and any affected businesses do not have to collect the sales tax on top of a bag fee. It is effective immediately.

UPDATE 5/31/14: This bill has been passed and sent to Governor LePage for action. We are uncertain whether he will sign it, veto it or let it become law without his signature.

UPDATE 5/25/15: This bill has taken an epic journey. It finally made its way through the House and Senate after a number of parlimentary moves to strip the fiscal note and other maneuvers. It was sent to the Appropriations Table on 5/21/15, but we believe it has been taken from the table.

UPDATE 5/10/15: The bill is tabled in the House.

UPDATE 4/5/15: The Taxation Committee voted unanimously Ought to Pass on the bill. We are working hard to have it enacted before April 15th when Portland's ordinance takes effect.

Summary:

This bill exempts from sales tax any fee placed on a paper or plastic single-use carry-out bag.