HB 1297 modifies Maryland's student loan debt relief tax credit by changing how unused credit amounts are recaptured. It requires taxpayers to repay only the unused portion of the credit (not the full amount) if they don't use it for student loan repayment within 3 years. The bill also authorizes the Maryland Higher Education Commission to grant extensions of this 3-year period for taxpayers unable to repay due to specific federal delays, such as litigation over the SAVE repayment plan, Department of Education understaffing, or waiting for public service loan forgiveness. This directly affects Maryland residents with qualifying student loan debt who claim the tax credit.
SB 247 converts Maryland's Biotechnology Investment Incentive Tax Credit into a direct grant program administered by the Department of Commerce. It replaces tax credits with cash grants for qualifying biotechnology companies engaged in research, development, or commercialization of biological technologies. The bill requires the Department to disburse grants within a specified timeframe and allows recipients to deduct these grants from their Maryland income tax for the same year. This change shifts the incentive from tax savings to immediate funding, directly affecting eligible biotech firms in Maryland.
This bill expands Maryland's income tax deduction for retirement income by adding "9-1-1 specialists" to the list of eligible public safety employees. It modifies tax code sections to include retired 9-1-1 specialists - defined as employees handling emergency calls and dispatching services - in the $15,000 annual tax deduction for retirement income. The change directly affects retired 9-1-1 specialists who meet the age requirement (55+), allowing them to reduce their taxable income by up to $15,000. The policy takes effect for tax years beginning after December 31, 2025.
SB 328 amends Maryland’s property tax credit for disabled or fallen public safety officers by expanding eligibility. It adds disabled officers who die regardless of cause (not just duty-related deaths) to the definition of "fallen public safety officer," and removes the requirement that a dwelling must have been acquired within 10 years of the disability or death. The bill also allows the tax credit amount for new dwellings to match the original credit for a previous dwelling, and authorizes local governments to set their own acquisition timelines or eligibility limits. This directly affects disabled officers, their surviving spouses, and cohabitants who own qualifying homes, as well as county/municipal tax administrators.
HB 653 increases Maryland's tax deduction for retirement income earned by retired public safety employees, including correctional officers, law enforcement officers, firefighters, and emergency medical personnel. It phases in a gradual increase in the deductible amount from $15,000 to $20,000 over five years, starting with $15,000 for 2025-2026 tax years and rising by $1,000 annually until reaching $20,000 by 2029-2030. This deduction reduces taxable income for eligible retirees aged 55+ who receive retirement income tied to their public safety service. The changes take effect July 1, 2026, as part of Maryland's income tax code.
HB 694 modifies Maryland's income tax calculation by excluding certain foreign earned income from the state tax addition. Specifically, it removes the requirement to include income exempt from federal tax under IRS Section 911 (for overseas workers) when calculating Maryland adjusted gross income. This change directly affects Maryland residents who work abroad and qualify for the federal foreign earned income exclusion. The bill takes effect July 1, 2026, for tax years beginning after December 31, 2025.
SB 283 authorizes Maryland to borrow $1.824 billion through a new 2026 capital bond loan, updating previous bond programs from 2015-2025. The funds will finance state construction, renovations, equipment, and grants to local governments for infrastructure projects, requiring matching local funds and strict spending deadlines. It modifies prior bond law provisions to clarify eligible uses, extend project timelines, and adjust budget allocations for ongoing capital projects. This bill primarily affects state agencies, local governments receiving grants, and public infrastructure projects across Maryland.
HB 888 expands Washington County's property tax credit program for disabled veterans to include members of the National Oceanic and Atmospheric Administration (NOAA) and Public Health Service (PHS) who meet the same disability and service criteria as military veterans. The bill amends existing law to add these federal service members to the definition of "disabled veteran," allowing them to qualify for a credit equal to their VA disability rating percentage on their primary residence. This change directly affects eligible NOAA and PHS members who are disabled veterans under federal standards, as well as their surviving spouses who meet ownership and residency requirements. The credit applies to property tax on the dwelling house owned by qualifying individuals, effective June 1, 2026.
HB 1059 requires Maryland's State Department of Education to evaluate specific Asian American history training programs from seven approved organizations (including the Smithsonian and Asian American Education Project) for inclusion in its teacher professional development program. It creates a grant program providing up to $2,000 per teacher to cover costs for these trainings and up to $1,000 annually per school library to purchase age-appropriate books and resources on Asian American and Pacific Islander history. The bill mandates annual state funding of $500,000 starting in fiscal year 2028 to support these grants. The bill directly affects Maryland public school educators and school libraries by expanding access to culturally specific professional development and learning materials.
HB 989 modifies how income is calculated for elderly individuals seeking state assistance. It prohibits including rental income from a portion of an individual's primary residence (e.g., renting a room) when determining eligibility for state tax credits, housing assistance, or medical assistance programs. The Department of Aging must review all relevant programs to confirm applicability and notify administering agencies if the rule applies. This change directly affects elderly Marylanders who rely on state assistance programs with income-based eligibility requirements. The law takes effect July 1, 2026.
