LEONARDTOWN, Md. – by BayNet Breaking News Desk
(Updated April 19, 2025)
An earlier version of this story incorrectly stated that Delegate Brian Crosby voted in favor of Maryland’s 3% technology tax. Delegate Crosby did not vote in favor of the IT tax. In fact, he was one of only two Democrats who voted against the measure.
LEONARDTOWN, Md. – Delegate Brian Crosby (D-St. Mary’s) today addressed confusion and criticism surrounding his stance on Maryland’s newly implemented 3% technology tax, clarifying that he opposed the tax despite relocating parts of his business operations out of state.
Initially, some media reports incorrectly implied that Crosby, who publicly criticized Maryland’s IT tax, had subsequently voted for the measure. Speaking at the recent Southern Maryland Legislative Breakfast, Crosby explicitly clarified his position, confirming he did not vote for the controversial tax. In fact, Crosby was one of only two Democrats who opposed the measure during the final legislative vote.
“Eight weeks before the session ended, I had never even heard of the IT tax—it emerged suddenly,” Crosby explained. He emphasized the unexpectedly broad application of Maryland’s tech tax compared to similar measures in 25 other states. Most states narrowly define taxable technology services, whereas Maryland’s tax broadly impacts sectors such as medical records systems, cybersecurity, and subcontracted IT operations.
Crosby explained that his company’s partial move to Virginia was purely strategic and logistical. Operations falling under federal contracting code 5415 (computer programming and software services) were relocated solely to deliver services to prime contractors located in Virginia, avoiding the unnecessary and substantial tax burden created by Maryland’s new law. Crosby reiterated that this decision was driven purely by financial necessity, not politics.
Furthermore, Crosby highlighted serious concerns about the disproportionate burden the tax imposes on small and minority-owned subcontractors. While prime contractors with direct federal contracts remain exempt, subcontractors bear significant financial burdens, potentially threatening their viability. Crosby warned that large companies might avoid partnering with smaller Maryland subcontractors to circumvent added costs, further marginalizing minority and woman-owned businesses.
“We put tremendous effort into giving minority and women-owned businesses fair opportunities, and now, unfortunately, many are going to be left out,” Crosby said, describing immediate and troubling impacts he’s already seeing within Maryland’s defense sector.
Delegate Crosby suggested that legislative revisions or clarifications may be considered during an anticipated special session later this year. Until then, he pledged to continue advocating for a reconsideration or repeal of the tax to alleviate its harmful effects on Maryland businesses.
Contact our news desk at news@thebaynet.com
BS! He moved his business because he knew early on about the tax. Did he publicly announce to the other small and minority owned businesses about the pending tax? His voting yes was the Annapolis Legislators version of insider trading. Shame on you Mr. Crosby…
He’s basically saying he didn’t know what he was voting for. But, being a Democrat, it was a tax, so vote in favor of it.
Well, he’s a dem. That’s what they are good at is increasing taxes. No surprise.
This is the most hypocritical BS I’ve ever heard in my 45 years in Maryland. Not only is the BS rolling off his tongue like a hot pepper, what he did should, in fact, be illegal. Though the US STOCK Act only applies to members of Congress, what Crosby admits to doing should be no less of a criminal action. Knowing his business would have to pay more in taxes, he purposely moved part of his business to Virginia to avoid paying the tax increase, the very tax increase he then ultimately voted for! Congratulations Brian. You’ve now been inducted into the Maryland House of Overlords.
what conversations do the GA + the Comptroller (who has access to everybodys returns) have before tax +? Who says Maryland can afford this stuff?
Oh look. Taxation without representation. Crosby is a traitor to his constituents.
Taxation without representation. Crosby is a traitor to his constituents.
That’s ok. The democrats will keep driving businesses out of the state and then scream that they don’t know why the state is losing money. Bunch of baffoons.