SB 980 modifies Maryland's property tax credit for disabled veterans and surviving spouses by adjusting the required disability rating thresholds. It lowers the minimum rating for the 50% credit from 75% to 70% and for the 25% credit from 74% to 69%, expanding eligibility without changing existing income limits ($100,000 for single filers, $200,000 for joint filers). The bill applies to veterans or surviving spouses owning a dwelling house who meet the revised disability criteria. This change takes effect for taxable years beginning after June 30, 2026.
This bill exempts property owned by Hagerstown City or the Hagerstown Multi-Use Sports and Events Facility used primarily for public social, recreational, and entertainment purposes from property taxes. It applies retroactively to tax years beginning after June 30, 2023, requiring Washington County, the city, and the state to refund any overpaid taxes from that period. The exemption covers properties meeting the specified public use criteria, with refunds processed for eligible taxpayers who request retroactive relief. The bill takes effect June 1, 2026.
HB 1330 changes Maryland's homeowners' property tax credit application process to be year-round. It eliminates the previous October 1 deadline, allowing eligible homeowners to apply anytime within specific windows: within one year after April 15 for first-time applicants or those who applied on time for three consecutive years, or within three years after April 15 for homeowners aged 70+ or enrolled in the Homeowner Protection Program. The bill directly affects Maryland homeowners with combined gross income under $60,000 or net worth under $200,000 who qualify for the credit. Key mechanisms include extended application periods and revised payment timing based on when the application is submitted. This applies to all taxable years beginning after June 30, 2027.
SB 501 requires Washington County and its municipalities to grant a 100% property tax credit for real property owned by Platoon 22, Incorporated, specifically when that property is used to provide housing for veterans. The bill amends Maryland's tax code to mandate this credit by law, directly affecting only Platoon 22's taxable property within Washington County. The credit covers the full amount of county and municipal property tax on qualifying veteran housing properties. This policy change applies to all taxable years beginning after June 30, 2026.
HB 889 authorizes Wicomico County or its municipalities to grant a property tax credit against local property taxes for real property owned by Salisbury Neighborhood Housing Services, Inc. (SNHS), specifically for properties they intend to transfer soon, use for housing development/rehabilitation, and are not used for administrative purposes. The nonprofit must submit annual reports detailing all its properties and transactions in the jurisdiction granting the credit. The credit terms (amount, duration, scope) would be set by the local government, and the law takes effect June 1, 2026, applying to taxes for 2026 and later.
HB 644 amends Maryland's property tax law to simplify the application process for surviving spouses of disabled veterans seeking a property tax exemption on their primary residence. The bill updates the required documentation, allowing surviving spouses to submit either a VA disability certification or a VA rating decision (including the effective date) instead of previous, more complex forms. This change directly affects unmarried surviving spouses of veterans who were honorably discharged with a 100% service-connected disability, ensuring they can more easily qualify for the exemption on their current home or a newly acquired home meeting specific conditions. The exemption remains tied to the property's use as a primary residence and the veteran's qualifying disability status.
HB 369 authorizes Prince George's County to offer a property tax credit to new businesses that create 10 or more full-time jobs in industries targeted for growth by the county's economic development agency. The credit applies to property owned or leased by qualifying businesses and cannot exceed 10 years. County officials would determine the credit amount, duration, and additional eligibility rules through local law. The credit becomes effective for tax years beginning after June 30, 2026.
HB 506 establishes the Transformational Project Financing Program under Maryland's Economic Development Corporation. It allows local governments (political subdivisions) to apply for designation of specific areas as "State-supported development districts" to fund major development projects. The key mechanism redirects property tax revenue from increased property values ("tax increment") within these districts into a dedicated fund, rather than the general municipal budget, for approved projects. Priority areas include sustainable communities, transit-oriented developments, and designated enterprise zones. This program modifies existing law to create a structured process for economic development financing through tax increment funding.
SB 117 amends Maryland law to allow surviving spouses of fallen public safety officers or judicial officers - including those who have remarried - to qualify for a property tax credit on their primary residence. The bill directly affects local governments (like Baltimore City or county councils), which must administer the credit, and surviving spouses who meet eligibility criteria. Key provisions require the dwelling to be owned by the surviving spouse at the time of the officer's death, and local governments define specific details like credit amount and officer classifications. The change takes effect for tax years beginning after June 30, 2026.
HB 161 creates a property tax credit for property owners who convert former gas stations (retail service stations) to new uses like retail stores, homes, or mixed residential-retail spaces. Local governments (counties or cities) can grant this credit to offset property taxes, and the state will reimburse them 50% of the lost tax revenue. The credit is specifically intended to help cover costs for removing old underground gas tanks and cleaning up contamination. This applies to properties converted after June 30, 2026, and affects property owners making such conversions in Maryland jurisdictions.
