Budget & Taxes (Tax Incentives)

in committee · Maryland · House of Delegates Feb 5, 2026

HB 909: Sales and Use Tax - Cut Flowers - Exemption

This bill creates a sales and use tax exemption for cut flowers sold by farmers in Maryland. It directly affects agricultural producers by removing the tax burden on their cut flower sales, while leaving other floral products like uncut and living flowers subject to existing tax rules. The change is implemented by adding a new provision to the state's tax code that explicitly excludes cut flower sales from taxation. The exemption takes effect on July 1, 2026, allowing farmers to sell cut flowers without paying the applicable sales tax.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill provides tax relief to agricultural producers by exempting cut flower sales from taxation, reducing tax burden on farmers and promoting local agriculture.85% confidence

Sub-Topics Sales Tax Tax Incentives

Track

in committee · Maryland · House of Delegates Feb 5, 2026

HB 790: State Transfer Tax - Exemption for First-Time Home Buyers - Alterations

HB 790 exempts first-time homebuyers in Maryland from the state transfer tax when purchasing improved residential property they will occupy as their primary residence. The bill replaces existing tax exemption language to clarify that qualifying buyers (those who have never owned residential property in Maryland as their principal home) and their agents must submit a sworn statement confirming their status and occupancy plans. The exemption applies to the 0.25% transfer tax rate, which remains the seller’s responsibility to pay (though no tax is collected under this exemption). This change directly affects first-time homebuyers purchasing qualifying properties, effective July 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts first-time homebuyers from transfer tax, providing tax relief for lower-income residents, aligning with support indicators for tax relief measures.95% confidence ✓ HousingSupports HousingExempts first-time homebuyers from transfer tax, reducing purchase costs for primary residences and directly increasing affordable housing access.95% confidence

Sub-Topics Procurement Tax Incentives Homeownership Property Taxes

Track

signed · Maryland · House of Delegates May 26, 2026

HB 846: Property Tax - City of Hagerstown and the Hagerstown Multi-Use Sports and Events Facility, Inc. - Exemption

HB 846 exempts property owned by the City of Hagerstown and the Hagerstown Multi-Use Sports and Events Facility, Inc. from property tax when used primarily for public social, recreational, or entertainment purposes. It applies retroactively to taxable years beginning after June 30, 2023, requiring the State, Washington County, and the City to refund any excess property tax paid during that period. The bill modifies Maryland’s property tax code (specifically Sections 7-251 and 7-524) to establish this exemption and refund process. This directly affects the City of Hagerstown and the sports facility organization by reducing their future property tax burden and securing refunds for prior overpayments.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts public recreational property from taxes, reducing burden on city/facility for public services, aligning with tax relief for essential programs.85% confidence

Sub-Topics Property Tax Sales Tax Tax Incentives

signed · Maryland · House of Delegates May 26, 2026

HB 783: Washington County - Property Tax Credit - Platoon 22, Incorporated

HB 783 requires Washington County and its municipalities to grant a 100% property tax credit against county and municipal taxes for real property owned by Platoon 22, Incorporated, provided the property is used to provide housing for veterans. The bill directly affects Platoon 22, a nonprofit organization, by eliminating property tax liability on qualifying housing properties. Key provisions mandate this tax credit be implemented through local law, applying to all taxable years beginning after June 30, 2026. This is a targeted tax exemption for a specific organization’s veteran housing operations, not a broad policy change.

Topics ✓ Budget & TaxesSupports Budget & TaxesHB 783 eliminates property tax liability for veteran housing nonprofit via 100% tax credit, providing direct tax relief and supporting fiscal management for housing services.95% confidence ✓ HousingSupports HousingEliminates property taxes for veteran housing nonprofit, reducing costs to maintain affordable housing. Directly supports housing access for veterans.90% confidence ✓ VeteransSupports VeteransEliminates property taxes for nonprofit providing veteran housing, directly funding housing services through tax credit for veterans' housing.95% confidence

Sub-Topics Property Tax Tax Credits Tax Incentives Property Taxes Veteran Housing

in committee · Maryland · House of Delegates Feb 5, 2026

HB 840: Property Tax - Credit for Commercial Buildings Rented to Small Businesses

HB 840 would allow Baltimore City and local Maryland counties or municipalities to create a property tax credit for commercial buildings rented to small businesses. This credit applies only to buildings located in designated Arts and Entertainment Districts (under Title 4, Subtitle 7 of the Economic Development Article) or Main Street Maryland Communities (designated by the Department of Housing and Community Development). Local governments would set the credit amount, duration, eligibility rules, and application process. The bill takes effect June 1, 2026, for tax years beginning after June 30, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides property tax credit for small businesses in designated districts, reducing tax burden and supporting local economic development through fiscal relief.95% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives Tags Small Business

Track

signed · Maryland · Senate May 26, 2026

SB 767: Property Tax - Credit for Commercial Buildings Rented to Small Businesses

SB 767 would allow Baltimore City and Maryland counties or municipalities to create a property tax credit for commercial buildings rented at fair market value to small businesses located in two specific zones: Arts and Entertainment Districts (under Title 4, Subtitle 7 of the Economic Development Article) or designated Main Street Maryland communities. Local governments would set the credit amount, duration, eligibility rules, and application process through their own ordinances. The credit applies to property taxes on qualifying buildings and takes effect for tax years beginning after June 30, 2026. This bill directly affects small businesses renting commercial space in these designated areas and the local governments managing property tax policy.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill creates property tax credit for small businesses in designated zones, providing direct tax relief to lower/middle-income entities through local government ordinances.92% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives Tags Small Business

signed · Maryland · House of Delegates May 26, 2026

HB 842: Property Tax Credit - Surviving Spouse of Military Service Member

HB 842 repeals a requirement that a surviving spouse of a service member who died in the line of duty must acquire a dwelling house within two years of the service member's death to qualify for a property tax exemption. The bill directly affects surviving spouses of service members who died in the line of duty, allowing them to qualify for the exemption regardless of when they purchase or acquire the home. Key provisions remove the 2-year acquisition deadline from existing law (Maryland Code, Tax-Property § 7-208(b)), making the exemption available as long as the surviving spouse meets other eligibility criteria. This change takes effect June 1, 2026, applying to all taxable years beginning after June 30, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesRepeals time limit for property tax exemption, expanding eligibility and reducing tax burden for surviving spouses of service members, aligning with tax relief indicators.95% confidence ✓ VeteransSupports VeteransRepeals 2-year deadline for property tax exemption for surviving spouses of fallen service members, expanding access to benefits.95% confidence

Sub-Topics Property Tax Tax Credits Tax Incentives

signed · Maryland · House of Delegates May 26, 2026

HB 894: Land Use - Transit-Oriented Development - Alterations (Maryland Transit and Housing Opportunity Act)

HB 894, the Maryland Transit and Housing Opportunity Act, automatically designates qualifying transit-oriented developments (near rail stations with at least hourly service Monday-Friday 8am-6pm) as enterprise zones, granting tax incentives without separate approval. The bill requires the Maryland Development Corporation to prioritize redevelopment projects near transit in its loan programs and delays certain development fees for residential housing projects. It also changes local land use regulations near transit stations by altering municipal authority to restrict development in these areas.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill grants tax incentives for transit-oriented developments and delays development fees, directly advancing tax policy and fiscal management.90% confidence ✓ HousingSupports HousingAutomatically designates transit-oriented developments as enterprise zones for tax incentives, prioritizes transit-redevelopment in loan programs, and delays residential development fees - directly advancing housing development.92% confidence ✓ TransportationSupports TransportationBill creates tax incentives for transit-oriented developments, prioritizes transit-redevelopment in loans, and delays fees for housing near transit, directly advancing public transit infrastructure.95% confidence

Sub-Topics Tax Incentives Land Use Property Development Zoning Rail

signed · Maryland · Senate May 26, 2026

SB 847: Wicomico County - Property Tax Credit - Salisbury Neighborhood Housing Services, Inc.

This bill authorizes Wicomico County or its municipalities to grant a property tax credit against local property taxes for real estate owned by Salisbury Neighborhood Housing Services, Inc. (SNHS), specifically for properties SNHS intends to transfer to private owners within a near future. The credit applies only to properties used for development, rehabilitation, and transfer to private owners, excluding administrative or warehouse buildings owned by SNHS. SNHS must submit annual reports detailing all its property holdings and transactions in the jurisdiction granting the credit. The credit becomes effective for taxable years beginning after June 30, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesAuthorizes property tax credit for SNHS properties used in housing development, reducing tax burden for affordable housing initiatives.95% confidence ✓ HousingSupports HousingBill provides property tax credit for SNHS to develop/rehab housing for transfer to private owners, directly advancing affordable housing development through financial incentives.90% confidence

Sub-Topics Property Tax Tax Credits Tax Incentives Property Development Property Taxes

signed · Maryland · Senate Apr 14, 2026

SB 756: Baltimore City – Economic Development Project in Downtown RISE District – Payment in Lieu of Taxes

SB 756 creates a tax exemption for certain new or rehabilitated commercial or residential developments in Baltimore City's Downtown RISE District (specifically Wards 4 and 22 precincts), replacing property taxes with annual "payment in lieu of taxes" agreements. Property owners must enter a formal agreement with Baltimore City by June 30, 2036, after demonstrating the project's economic necessity through a city-approved analysis. The bill requires annual reporting on job creation, estimated tax revenue, and other economic benefits of qualifying projects. This applies only to developments including hotels, offices, retail, multifamily housing, or mixed-use facilities within the defined district.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax exemption for specific developments, directly altering tax policy to incentivize economic development in designated district.95% confidence

Sub-Topics Revenue Tax Incentives