Budget & Taxes

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.

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 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 844 exempts unemployable disabled veterans with service-connected disabilities from Maryland's vehicle registration fees for one personally used vehicle. The bill amends Maryland's vehicle registration code to add a new exemption category (Section 13-903(a)(11)) specifically for veterans deemed unemployable due to a service-connected disability. This change directly affects qualifying veterans who own or lease a vehicle for personal use, removing a recurring cost. The exemption takes effect October 1, 2026, and does not apply to additional vehicles. The bill replaces the previous exemption for veterans with specific physical disabilities under Section 13-903(a)(8).