HB 1611 repeals a fixed $100,000 federal adjusted gross income limit for disabled veterans seeking a property tax credit on their primary residence. Instead, it allows counties and municipalities to set their own income eligibility criteria for the credit, based on a veteran's federal adjusted gross income. The bill directly affects disabled veterans (with service-connected disabilities of 50%+) and their surviving spouses who own their homes. Key provisions shift authority from the state to local governments to determine income thresholds, while maintaining existing credit rates (25% or 50% of property tax) based on disability rating. The change takes effect June 1, 2026, for tax years beginning after that date.
HB 652 creates a property tax credit for first-time homebuyers in Maryland. It defines a "first-time homebuyer" as a Maryland resident who has never owned a dwelling in any state. The bill changes how the taxable assessment is calculated for this credit: for the first year a first-time homebuyer owns a home, the credit uses the previous owner's assessment (adjusted for revaluation) instead of the new owner's current assessment. This directly affects eligible first-time homebuyers by lowering their initial property tax burden. The change applies to all taxable years beginning after June 30, 2026.
SB 455 establishes the Transformational Project Financing Program to help local governments fund large-scale development projects in designated areas. It allows counties or cities to apply to the Maryland Economic Development Corporation for "State-supported development district" status, requiring them to redirect property tax increases (tax increment) from these areas into a special fund instead of the general budget. This fund finances projects in priority areas like sustainable communities, transit-oriented developments, and designated enterprise zones. The bill creates new rules for calculating state revenue contributions and managing bond proceeds specifically for these designated districts.
HB 603 requires Baltimore County to set its homestead property tax credit percentage at a fixed 100% for all taxable years beginning after June 30, 2026. This directly affects Baltimore County homeowners who qualify for the homestead property tax credit, which reduces their property tax bill by applying the credit percentage to their taxable assessment. Previously, Baltimore County could choose a credit percentage between 100% and 110% or use the prior year's rate, but this bill eliminates that flexibility. The law takes effect on July 1, 2026, for the 2026 tax year.
HB 368 requires Prince George's County to provide an additional property tax credit for homeowners, supplementing Maryland's existing state credit. The credit reduces taxes based on income: 0% on the first $8,000, 4% on the next $4,000, 6.5% on the following $4,000, and 9% on income above $16,000. Homeowners must have combined income under $75,000 and net worth under $200,000 to qualify. The State Department of Assessments and Taxation administers the credit, and Prince George's County must reimburse the state for administrative costs. The law takes effect for tax years beginning after June 30, 2026.
HB 556 creates a property tax credit for Maryland households that spend a significant portion of their income on utilities. It allows Baltimore City or local counties to grant a credit against property taxes for "eligible individuals" who pay at least 25% of their household net income on utility services (electricity, gas, water, or internet) for their primary residence. Local governments would determine the credit amount, duration, and additional eligibility rules through their own ordinances. The credit applies to property taxes on the dwelling, not utility bills directly, and would take effect for taxable years starting 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.
SB 58 allows Baltimore City or Maryland counties to offer property tax credits to owners who convert former gas stations into retail, residential, or mixed-use properties. The credit is specifically intended to help cover costs for removing old underground gas tanks and cleaning up soil or water contamination from those tanks. Local governments can set the credit amount and duration, and the state will reimburse them 50% of the lost property tax revenue. This directly affects property owners and developers planning to redevelop former gas station sites into other commercial or housing uses.
SB 325, the Maryland Housing Certainty Act, requires local governments and the Maryland-National Capital Park and Planning Commission to base housing development approvals solely on land use rules in effect when a developer submits a complete application. It grants developers "vested rights" protecting approved projects from future rule changes for a set period and prohibits collecting development taxes or impact fees before construction is finished. The bill directly affects housing developers seeking permits and local regulatory agencies managing land use. It creates a new "Maryland Housing Certainty Act" section in state law to formalize these protections and fee restrictions.
HB 579 creates a property tax exemption for Baltimore County homeowners aged 65+ who already qualify for the homestead property tax credit. It exempts the first $50,000 of a home's assessed value from state property tax and sets the homestead credit percentage at 100% (instead of the standard 110%) for county and municipal taxes. The bill requires Baltimore County's governing body to implement this credit and specifies that applicants must indicate their age (65+) on the credit application form. This directly affects Baltimore County seniors meeting the existing homestead credit eligibility criteria. The policy changes are limited to Baltimore County and do not alter statewide tax rates or credit calculations for other jurisdictions.
