EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0800*
HOUSE BILL 800
Q3 5lr1747
HB 713/24 – W&M
By: Delegates Griffith, Rogers, Allen, Arentz, Buckel, Chisholm, Fraser–Hidalgo,
Hartman, Hornberger, Hutchinson, Jacobs, A. Johnson, S. Johnson,
Nawrocki, Otto, Pippy, Reilly, Rose, Schmidt, Szeliga, and Valentine
Introduced and read first time: January 29, 2025
Assigned to: Ways and Means
A BILL ENTITLED
AN ACT concerning 1
Income Tax – Subtraction Modification for Military Retirement Income – 2
Individuals Under the Age of 55 3
FOR the purpose of increasing the amount of a subtraction modification under the 4
Maryland income tax for military retirement income for individuals who are under 5
a certain age; and generally relating to a subtraction modification under the 6
Maryland income tax for military retirement income. 7
BY repealing and reenacting, without amendments, 8
Article – Tax – General 9
Section 10–207(a) 10
Annotated Code of Maryland 11
(2022 Replacement Volume and 2024 Supplement) 12
BY repealing and reenacting, with amendments, 13
Article – Tax – General 14
Section 10–207(q) 15
Annotated Code of Maryland 16
(2022 Replacement Volume and 2024 Supplement) 17
SECTION 1. BE IT ENACTED BY THE GENERAL ASS EMBLY OF MARYLAND, 18
That the Laws of Maryland read as follows: 19
Article – Tax – General 20
10–207. 21
(a) To the extent included in federal adjusted gross income, the amounts under 22
this section are subtracted from the federal adjusted gross income of a resident to determine 23 2 HOUSE BILL 800
Maryland adjusted gross income. 1
(q) (1) (i) In this subsection the following words have the meanings 2
indicated. 3
(ii) “Military retirement income” means retirement income, 4
including death benefits, received as a result of military service. 5
(iii) “Military service” means: 6
1. induction into the armed forces of the United States for 7
training and service under the Selective Training and Service Act of 1940 or a subsequent 8
act of a similar nature; 9
2. membership in a reserve component of the armed forces of 10
the United States; 11
3. membership in an active component of the armed forces of 12
the United States; 13
4. membership in the Maryland National Guard; or 14
5. active duty with the commissioned corps of the Public 15
Health Service, the National Oceanic and Atmospheric Administration, or the Coast and 16
Geodetic Survey. 17
(2) The subtraction under subsection (a) of this section includes[: 18
(i) if, on the last day of the taxable year, the individual is under the 19
age of 55 years, the first $12,500 of military retirement income received by an individual 20
during the taxable year; and 21
(ii) if, on the last day of the taxable year, the individual is at least 55 22
years old,] the first $20,000 of military retirement income received by an individual during 23
the taxable year. 24
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 25
1, 2025, and shall be applicable to all taxable years beginning after December 31, 2024. 26