EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0404*
HOUSE BILL 404
Q1 3lr1537
By: Delegates Feldmark, Ebersole, Hill, D. Jones, Lehman, Ruth, Shetty, and
Smith
Introduced and read first time: January 27, 2023
Assigned to: Ways and Means
A BILL ENTITLED
AN ACT concerning 1
Property Tax – Statewide Optional Credit for Homeowners Who Have Suffered 2
a Hardship 3
FOR the purpose of authorizing the Mayor and City Council of Baltimore City or the 4
governing body of a county or municipal corporation to grant, by law, a property tax 5
credit against the county or municipal corporation property tax imposed on a 6
dwelling that is owned by a homeowner whose combined gross income exceeds a 7
certain amount if the homeowner demonstrates certain criteria, including that the 8
homeowner suffered a certain hardship; repealing as redundant a provision of law 9
authorizing the same property tax credit in Baltimore County; and generally relating 10
to a statewide optional property tax credit for homeowners who have suffered a 11
hardship. 12
BY repealing 13
Article – Tax – Property 14
Section 9–305(h) 15
Annotated Code of Maryland 16
(2019 Replacement Volume and 2022 Supplement) 17
BY renumbering 18
Article – Tax – Property 19
Section 9–305(i) 20
to be Section 9–305(h) 21
Annotated Code of Maryland 22
(2019 Replacement Volume and 2022 Supplement) 23
BY adding to 24
Article – Tax – Property 25
Section 9–268 26
Annotated Code of Maryland 27 2 HOUSE BILL 404
(2019 Replacement Volume and 2022 Supplement) 1
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 2
That Section(s) 9–305(h) of Article – Tax – Property of the Annotated Code of Maryland be 3
repealed. 4
SECTION 2. AND BE IT FURTHER ENACTED, That Section(s) 9 –305(i) of Article 5
– Tax – Property of the Annotated Code of Maryland be renumbered to be Section(s) 6
9–305(h). 7
SECTION 3. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 8
as follows: 9
Article – Tax – Property 10
9–268. 11
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 12
INDICATED. 13
(2) “COMBINED INCOME” HAS THE MEANING STAT ED IN § 9–104 OF 14
THIS TITLE. 15
(3) “DWELLING” HAS THE MEANING STAT ED IN § 9–104 OF THIS 16
TITLE. 17
(4) “HARDSHIP” MEANS: 18
(I) AN ILLNESS OR ACCIDE NT–RELATED INJURY OF A 19
HOMEOWNER OR A MEMBE R OF THE HOMEOWNER ’S IMMEDIATE FAMILY ; OR 20
(II) A PROPERTY CASUALTY EVENT AT THE HOMEOWN ER’S 21
DWELLING. 22
(5) “HOMEOWNER ” HAS THE MEANING STAT ED IN § 9–104 OF THIS 23
TITLE. 24
(B) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 25
GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATION MAY GRAN T, BY LAW, 26
A PROPERTY TAX CREDI T AGAINST THE COUNTY OR MUNICIPAL CORPORA TION 27
PROPERTY TAX IMPOSED ON A DWELLING THAT IS O WNED BY A HOMEOWNER WHOSE 28
COMBINED INCOME EXCE EDS $60,000 IF THE HOMEOWNER DEM ONSTRATES THAT : 29
(1) THE HOMEOWNER WAS DE NIED THE PROPERTY TA X CREDIT 30
UNDER § 9–104 OF THIS TITLE FOR HA VING A COMBINED INCO ME THAT EXCEEDS 31 HOUSE BILL 404 3
$60,000; 1
(2) THE HOMEOWNER SUFFER ED A HARDSHIP IN THE CALENDAR 2
YEAR THAT PRECEDES T HE YEAR IN WHICH THE HOMEOWNER APPLIES FO R THE 3
CREDIT; 4
(3) THE HOMEOWNER PAID O R INCURRED EXPENSES RELATING TO 5
THE HARDSHIP THAT RE SULTED IN SIGNIFICAN T FINANCIAL DISTRESS FOR THE 6
HOMEOWNER ; AND 7
(4) THE HOMEOWNER ’S COMBINED INCOME WO ULD NOT HAVE 8
EXCEEDED $60,000 IF NOT FOR EXPENSES R ELATED TO THE HARDSH IP. 9
(C) THE HOMEOWNER SHALL I NCLUDE, IN THE FORM REQUIRED BY THE 10
MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE GOVERNING BODY OF THE 11
COUNTY OR MUNI CIPAL CORPORATION , AN ITEMIZED LIST OF ALL SOURCES OF 12
INCOME AND EXPENSES OF THE HOMEOWNER , INCLUDING EXPENSES R ELATED TO 13
THE HARDSHIP . 14
(D) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 15
GOVERNING BODY OF TH E COUNTY OR MUNICIPA L CORPORATION MAY ESTABLISH, 16
BY LAW: 17
(1) THE AMOUNT AND DURAT ION OF THE TAX CREDI T; 18
(2) ADDITIONAL ELIGIBILI TY CRITERIA FOR THE TAX CREDIT; 19
(3) REGULATIONS AND PROC EDURES FOR THE APPLI CATION AND 20
UNIFORM PROCESSING O F REQUESTS FOR THE T AX CREDIT; AND 21
(4) ANY OTHER PR OVISION NECESSARY TO CARRY OUT THE TAX 22
CREDIT. 23
SECTION 4. AND BE IT FURTHER ENACTED, That this Act shall take effect June 24
1, 2023, and shall be applicable to all taxable years beginning after June 30, 2023. 25