Why It Matters: Maryland House Bill 197 (HB 197) and its cross-file, Senate Bill 118 (SB 118), sought to impose an additional 11% excise tax on firearms dealers for the sale of firearms, accessories, and ammunition to fund gun violence prevention and intervention programs. Legislation like this discriminates against law-abiding sportsmen and women in the form of a tax (“sin tax”). Firearms and ammunition dealers in Maryland would have had to pass the additional cost on to consumers, which would have likely created a decline in sales and, in turn, a decline in conservation funding.
Highlights:
- HB 197 and SB 118 sought to create an 11% excise tax on firearms and ammunition dealers to fund gun violence prevention and intervention programs that would have likely be passed down to the consumers.
- Legislation like HB 197 and SB 118 will likely negatively impact conservation funding as the sale of firearms and ammunition will likely decrease.
- HB 197 and SB 118 were both heard in their originating committee but ultimately failed to progress as they did not receive a vote in the committees. CSF submitted letters of opposition for both pieces of legislation (HB 197 & SB 118).
As previously reported, this legislation has been attempted in different variations in previous years. However, this year, the bill specified that 26% of the full 11% excise tax would be allocated to the Maryland Violence Intervention and Prevention Fund program, 26% to the Center for Firearm Violence Prevention and Intervention within the Maryland Department of Health, 20% to the Coordinated Community Supports Partnership, 20% to the Survivors of Homicide Victims Grant Program, 4% to the Maryland Trauma Physician Services Fund, and 4% to the R Adams Cowley Shock Trauma Center and the University of Maryland Medical System.
In 1937, the Pittman-Robertson Act redirected previously existing manufacturer-level excise taxes on firearms and ammunition to a dedicated fund to be used specifically for wildlife conservation purposes. Once collected, the taxes are deposited into the Wildlife Restoration Account, which is administered by the United States Fish and Wildlife Service (USFWS) that is responsible for providing a federal match for state level conservation efforts. Under the Pittman-Robertson Act and per the Firearms and Ammunition Excise Tax, firearms and ammunition are subject to a 10-11% excise tax. By subjecting federally licensed firearms dealers and ultimately purchasers of firearms to an additional 11% tax, HB 197 and SB 118 would have likely negatively impacted conservation funding, ultimately making it more challenging for the Maryland Department of Natural Resources to effectively carry out its mission. Arguably, the parties most significantly harmed by these bills would have been recreational shooters and hunters, who would be subjected to additional taxes. but all citizens would have been negatively impacted by the loss of conservation dollars.
While these pieces of legislation are “dead” for 2026, it is extremely likely that we will continue to see these attempts during the 2027 Legislative Session, and also in future years if proponents don’t find success in 2027. It is imperative for legislators and the public to understand the impact that firearm and ammunition sales have on conservation funding as well as their importance to our longstanding sporting heritage. Penalizing law-abiding sportsmen and women through the enaction of a “sin tax” is counterproductive and will not assist in preventing gun violence, it will only negatively impact conservation funding through the “user pays, public benefits” system under the American System of Conservation funding
The Congressional Sportsmen’s Foundation (CSF) applauds the House Ways and Means Committee and the Senate Budget and Taxation Committee for not taking these egregious pieces of legislation up for a vote, thus allowing them to die due to failing to make it through the legislative process prior to the crossover deadline of March 23, 2026.