WES MOORE, Governor Ch. 161
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Chapter 161
(Senate Bill 202)
AN ACT concerning
Income Tax Department of Aging – Caregiver Tax Credit Expense Grant
Program – Established
FOR the purpose of allowing certain caregivers a credit against the State income tax
establishing the Caregiver Expense Grant Program in the Department of Aging to
award grants to certain caregivers for certain qualified expenses paid or incurred
during a taxable year by the caregivers to provide care or support to certain qualified
family members; and generally relating to an income tax credit for caregivers the
Caregiver Expense Grant Program.
BY adding to
Article – Tax – General
Section 10–758
Annotated Code of Maryland
(2022 Replacement Volume and 2023 Supplement)
BY adding to
Article – Human Services
Section 10–1202
Annotated Code of Maryland
(2019 Replacement Volume and 2023 Supplement)
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
That the Laws of Maryland read as follows:
Article – Tax – General Human Services
10–758. 10–1202.
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS
INDICATED.
(2) “CAREGIVER” MEANS AN INDIVIDUAL WHO PROVIDES CARE OR
SUPPORT TO A QUALIFI ED FAMILY MEMBER .
(3) “LICENSED PHYSICIAN ” HAS THE MEANING STAT ED IN § 14–101
OF THE HEALTH OCCUPATIONS ARTICLE.
(4) “PHYSICIAN ASSISTANT ” HAS THE MEANING STAT ED IN § 15–101
OF THE HEALTH OCCUPATIONS ARTICLE. Ch. 161 2024 LAWS OF MARYLAND
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(5) “PROGRAM” MEANS THE CAREGIVER EXPENSE GRANT
PROGRAM.
(6) (I) “QUALIFIED EXPENSES ” MEANS EXPENSES PAID OR
INCURRED BY A CAREGI VER FOR GOODS OR SER VICES THAT RELATE DI RECTLY TO
THE CARE OR SUPPORT OF A QUALIFIED FAMIL Y MEMBER, INCLUDING:
1. THE IMPROVEMENT OR A LTERATION OF THE
CAREGIVER’S PRIMARY RESIDE NCE TO ENABLE OR ASS IST THE QUALIFIED FA MILY
MEMBER TO BE MOBILE , SAFE, OR INDEPENDENT ;
2. THE PURCHASE OR LEAS E OF EQUIPMENT TO EN ABLE
OR ASSIST THE QUALIF IED FAMILY MEMBER TO CARRY OUT ONE OR MOR E
DAY–TO–DAY ACTIVITIES;
3. EMPLOYING A HOME CAR E AIDE OR PERSONAL C ARE
ATTENDANT; OR
4. THE COSTS FOR:
A. ADULT DAY CARE ;
B. SPECIALIZED TRANSPOR TATION;
C. LEGAL OR FINANCIAL S ERVICES; OR
D. ASSISTIVE CARE TECHN OLOGY.
(II) “QUALIFIED EXPENSES ” DOES NOT INCLUDE :
1. UNSPECIALIZED FOOD , CLOTHING, OR
TRANSPORTATION EXPEN SES;
2. ORDINARY HOUSEHOLD M AINTENANCE OR REPAIR
EXPENSES THAT ARE NO T DIRECTLY RELATED T O OR NECESSARY FOR T HE CARE OF
THE QUALIFIED FAMILY MEMBER; OR
3. ANY AMOUNT THAT IS P AID OR REIMBURSED :
A. UNDER AN INSURANCE P OLICY;
B. BY THE FEDERAL GOVER NMENT;
WES MOORE, Governor Ch. 161
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C. BY THE STATE; OR
D. BY A POLITICAL SUBDI VISION OF THE STATE.
(6) (7) “QUALIFIED FAMILY MEMB ER” MEANS AN INDIVIDUAL
WHO:
(I) IS AT LEAST 18 YEARS OLD ON THE LAS T DAY OF THE
TAXABLE YEAR IN WHIC H DAY THAT THE QUALIFIED EXPENS ES WERE PAID OR
INCURRED BY THE CARE GIVER;
(II) (I) REQUIRES ASSISTANCE WITH ONE OR MORE DAI LY
LIVING ACTIVITIES , AS CERTIFIED BY A LI CENSED PHYSICIAN , PHYSICIAN
ASSISTANT, OR REGISTERED NURSE PRACTITIONER ; AND
(III) IS AN IMMEDIATE FAMI LY MEMBER OF THE CAR EGIVER.
(II) 1. IS AT LEAST 60 YEARS OLD AND IS CAR ED FOR BY AN
ADULT RELATIVE OR IN FORMAL CAREGIVER WHO IS AT LEAST 18 YEARS OLD;
2. HAS ALZHEIMER’S DISEASE OR A RELAT ED DISORDER
AND IS CARED FOR BY AN ADULT RELATIVE OR INFORMAL CAREGIVER W HO IS AT
LEAST 18 YEARS OLD; OR
3. IS A CHILD OR AN ADU LT WITH DEVELOPMENTA L OR
FUNCTIONAL DISABILIT IES AND IS CARED FOR BY A PARENT, GRANDPARENT , OR
OTHER RELATIVE THAT IS AT LEAST 55 YEARS OLD.
(7) (8) “REGISTERED NURSE PRAC TITIONER” HAS THE MEANING
STATED IN § 8–101 OF THE HEALTH OCCUPATIONS ARTICLE.
(B) THERE IS A CAREGIVER EXPENSE GRANT PROGRAM IN THE
DEPARTMENT .
(C) SUBJECT TO THE LIMITA TIONS OF THIS SECTIO N, A CAREGIVER THE
DEPARTMENT MAY CLAIM A CREDIT AGAIN ST THE STATE INCOME TAX IN T HE
AMOUNT DETERMINED UNDER SUBSECTION (C) OF THIS SECTION AWARD A GRANT
TO A CAREGIVER FOR QUALIFIED EXPENS ES PAID OR INCURRED DURING THE
TAXABLE YEAR BY THE CAREGIVER IF THE CAREGIVER ’S FEDERAL ADJUSTED GROSS
INCOME DOES NOT EXCE ED:
(1) $75,000 IF THE CAREGIVER IS FILING AN INDIVIDUAL TAX
RETURN; OR
Ch. 161 2024 LAWS OF MARYLAND
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(2) $150,000 IF THE CAREGIVER IS FILING A JOINT TAX R ETURN.
(C) (D) A CAREGIVER SHALL APPL Y FOR A GRANT UNDER THE PROGRAM
IN THE FORM AND MANNER THE DEPARTMENT REQUIRES .
(E) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE AMOUNT
OF THE TAX CREDIT GRANT ALLOWED UNDER SUBSEC TION (B) (C) OF THIS SECTION
IS EQUAL TO 30% OF THE QUALIFIED EXP ENSES PAID OR INCURR ED DURING THE
TAXABLE YEAR BY THE CAREGIVER THAT EXCEED $2,000.
(2) FOR ANY TAXABLE FISCAL YEAR, THE AMOUNT OF THE TAX
CREDIT GRANT MAY NOT EXCEED $2,500. THE LESSER OF:
(I) $5,000; OR
(II) THE STATE INCOME TAX IMPO SED FOR THAT TAXABLE
YEAR.
(3) THE UNUSED AMOUNT OF THE CREDIT MAY NOT BE CA RRIED
OVER TO ANY OTHER TA XABLE YEAR.
(D) (F) FOR ANY FISCAL YEAR , THE GOVERNOR MAY INCLUDE IN THE
ANNUAL BUDGET BILL A N APPROPRIATION OF U P TO $5,000,000 TO THE PROGRAM.
(G) THE COMPTROLLER DEPARTMENT MAY ADOPT REGULATION S TO
CARRY OUT THE PROVISIONS O F THIS SECTION.
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July
1, 2024, and shall be applicable to all taxable years beginning after December 31, 2023.
Approved by the Governor, April 25, 2024.