Maryland Senate’s ‘Hard No’ Sinks Global Combined Reporting Plan

Efforts to make Maryland the first state to require multinational corporations to calculate income taxes based on worldwide combined income fell short after lawmakers advanced a budget excluding the provision.

After weeks of debate, the state General Assembly passed a budget deal Friday that excluded the worldwide combined reporting proposal. The provision faced opposition from the Senate, especially the chamber’s president, Bill Ferguson (D), who described his stance as a “hard no.” The measure also faced resistance from the Maryland Chamber of Commerce and other business groups.

Advocates for a worldwide reporting system, as opposed to one ...