EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0072*
SENATE BILL 72
Q3 3lr0820
SB 443/22 – B&T (PRE–FILED)
By: Senator Jackson
Requested: November 16, 2022
Introduced and read first time: January 11, 2023
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Income Tax – Credit for Pet–Friendly Rental Dwelling Units 2
FOR the purpose of allowing certain landlords a credit against the State income tax for 3
certain rental dwelling units in which, during the taxable year, a landlord permits 4
certain tenants to reside with companion animals; requiring the Comptroller to 5
maintain and publish on the Comptroller’s website certain information; and 6
generally relating to a credit against the State income tax for pet–friendly rental 7
dwelling units. 8
BY adding to 9
Article – Tax – General 10
Section 10–757 11
Annotated Code of Maryland 12
(2022 Replacement Volume) 13
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 14
That the Laws of Maryland read as follows: 15
Article – Tax – General 16
10–757. 17
(A) IN THIS SECTION, “RENTAL DWELLING UNIT ” HAS THE MEANING STAT ED 18
IN § 6–801 OF THE ENVIRONMENT ARTICLE. 19
(B) SUBJECT TO THE LIMITA TIONS OF THIS SECTIO N, A LANDLORD MAY 20
CLAIM A CREDIT AGAIN ST THE STATE INCOME TAX IN A N AMOUNT EQUAL TO $200 21
FOR EACH RENTAL DWEL LING UNIT IN WHICH , DURING THE TAXABLE Y EAR, THE 22
LANDLORD PERMITS THE LANDLORD’S TENANT TO RESIDE W ITH A COMPANION 23 2 SENATE BILL 72
ANIMAL. 1
(C) (1) FOR EACH TAXABLE YEAR , THE CREDIT ALLOWED U NDER THIS 2
SECTION MAY NOT EXCE ED THE LESSER OF : 3
(I) $2,000; OR 4
(II) THE STATE INCOME TAX FOR THAT TAXABLE YEAR , 5
CALCULATED BEFORE TH E APPLICATION OF THE CREDITS UNDER THIS S ECTION 6
AND §§ 10–701 AND 10–701.1 OF THIS SUBTITLE BUT AFTER THE APPLICATIO N OF 7
OTHER CREDITS ALLOWA BLE UNDER THIS SUBTI TLE. 8
(2) THE UNUSED AMOUNT OF CREDIT FOR ANY TAXAB LE YEAR MAY 9
NOT BE CARRIED OVER TO ANY OTHER TAXABLE YEAR. 10
(D) (1) A LANDLORD CLAIMING THE CREDIT UNDER THI S SECTION MAY 11
IMPOSE A LIMITATION ON THE TOTAL NUMBER OF COMPANION ANIMALS WITH 12
WHICH A TENANT MAY R ESIDE. 13
(2) A LANDLORD CLAIMING TH E CREDIT UNDER THIS SECTION MAY 14
NOT IMPOSE: 15
(I) A NONREFUNDABLE PET FEE ON THE TENANT WH O RESIDES 16
WITH A COMPANION ANI MAL; OR 17
(II) BREED OR SIZE RESTRI CTIONS ON THE COMPAN ION ANIMAL 18
WITH WHICH THE TENAN T SEEKS TO RESIDE . 19
(E) IN ORDER TO CLAIM THE CREDIT ALLOWED UNDER THIS SECTION, THE 20
LANDLORD SHALL FILE WITH THE LANDLORD ’S INCOME TAX RETURN : 21
(1) A LIST OF EACH PROPE RTY AT WHICH THE LAN DLORD PERMITS 22
THE LANDLORD ’S RESIDENTIAL RENTAL HOUSING TENANTS TO R ESIDE WITH 23
COMPANION ANIMALS IN THE TENANT’S RENTAL DWELLING UN IT AND FOR WHICH 24
THE LANDLORD IS CLAI MING THE CREDIT UNDE R THIS SECTION; AND 25
(2) A COPY OF THE LANDLO RD’S POLICIES GOVERNING COMPANION 26
ANIMALS WITH RESPECT TO THE PROPERTY . 27
(F) NOTWITHSTANDING THE L IMITATIONS UNDER TITLE 13, SUBTITLE 2 OF 28
THIS ARTICLE , THE COMPTROLLER SHALL MAI NTAIN AND PUBLISH ON THE 29
COMPTROLLER ’S WEBSITE A LI ST OF LANDLORDS WHO CLAIM THE CREDIT 30
ALLOWED UNDER THIS S ECTION AND THE PROPE RTIES AT WHICH EACH LANDLORD 31 SENATE BILL 72 3
PERMITS THE LANDLORD ’S RESIDENTIAL RENTAL HOUSING TENANTS TO R ESIDE 1
WITH COMPANION ANIMA LS IN THE TENANT’S RENTAL DWELLING UN IT. 2
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 3
1, 2023, and shall be applicable to all taxable years beginning after December 31, 2022, but 4
before January 1, 2025. It shall remain effective for a period of 2 years and, at the end of 5
June 30, 2025, this Act, with no further action required by the General Assembly, shall be 6
abrogated and of no further force and effect. 7