FRAG-OUT

Comprehensive Community Safety Funding Act — HB0197 & SB0118

The General Assembly is currently adjourned sine die; however, upon their return, Maryland lawmakers will most likely advance the Comprehensive Community Safety Funding Act (HB0197 & SB0118), a pair of bills that, if enacted, impose a new excise tax on the gross receipts of firearm dealers, covering sales of firearms, accessories, and ammunition — including sales made to Maryland residents from out-of-state FFLs, with the tax due at transfer.

While framed as a funding mechanism for state programs, this tax directly targets lawful commerce and places additional financial strain on small businesses, instructors, and FFLs who already operate under some of the most restrictive regulations in the country. Increased operating costs inevitably flow down to consumers, reducing access to training, safety resources, and compliant firearm ownership.

For Maryland's firearms industry, the cumulative effect is significant: higher prices, reduced margins, and fewer opportunities for new businesses to enter or survive in the market. These policies risk weakening an entire sector that provides jobs, education, and essential safety training statewide.