Budget & Taxes (Tax Incentives)

in committee · Maryland · House of Delegates Feb 5, 2026

HB 909: Sales and Use Tax - Cut Flowers - Exemption

This bill creates a sales and use tax exemption for cut flowers sold by farmers in Maryland. It directly affects agricultural producers by removing the tax burden on their cut flower sales, while leaving other floral products like uncut and living flowers subject to existing tax rules. The change is implemented by adding a new provision to the state's tax code that explicitly excludes cut flower sales from taxation. The exemption takes effect on July 1, 2026, allowing farmers to sell cut flowers without paying the applicable sales tax.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill provides tax relief to agricultural producers by exempting cut flower sales from taxation, reducing tax burden on farmers and promoting local agriculture.85% confidence

Sub-Topics Sales Tax Tax Incentives

Track

in committee · Maryland · House of Delegates Feb 5, 2026

HB 790: State Transfer Tax - Exemption for First-Time Home Buyers - Alterations

HB 790 exempts first-time homebuyers in Maryland from the state transfer tax when purchasing improved residential property they will occupy as their primary residence. The bill replaces existing tax exemption language to clarify that qualifying buyers (those who have never owned residential property in Maryland as their principal home) and their agents must submit a sworn statement confirming their status and occupancy plans. The exemption applies to the 0.25% transfer tax rate, which remains the seller’s responsibility to pay (though no tax is collected under this exemption). This change directly affects first-time homebuyers purchasing qualifying properties, effective July 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts first-time homebuyers from transfer tax, providing tax relief for lower-income residents, aligning with support indicators for tax relief measures.95% confidence ✓ HousingSupports HousingExempts first-time homebuyers from transfer tax, reducing purchase costs for primary residences and directly increasing affordable housing access.95% confidence

Sub-Topics Procurement Tax Incentives Homeownership Property Taxes

Track

signed · Maryland · House of Delegates May 26, 2026

HB 846: Property Tax - City of Hagerstown and the Hagerstown Multi-Use Sports and Events Facility, Inc. - Exemption

HB 846 exempts property owned by the City of Hagerstown and the Hagerstown Multi-Use Sports and Events Facility, Inc. from property tax when used primarily for public social, recreational, or entertainment purposes. It applies retroactively to taxable years beginning after June 30, 2023, requiring the State, Washington County, and the City to refund any excess property tax paid during that period. The bill modifies Maryland’s property tax code (specifically Sections 7-251 and 7-524) to establish this exemption and refund process. This directly affects the City of Hagerstown and the sports facility organization by reducing their future property tax burden and securing refunds for prior overpayments.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts public recreational property from taxes, reducing burden on city/facility for public services, aligning with tax relief for essential programs.85% confidence

Sub-Topics Property Tax Sales Tax Tax Incentives

signed · Maryland · House of Delegates May 26, 2026

HB 783: Washington County - Property Tax Credit - Platoon 22, Incorporated

HB 783 requires Washington County and its municipalities to grant a 100% property tax credit against county and municipal taxes for real property owned by Platoon 22, Incorporated, provided the property is used to provide housing for veterans. The bill directly affects Platoon 22, a nonprofit organization, by eliminating property tax liability on qualifying housing properties. Key provisions mandate this tax credit be implemented through local law, applying to all taxable years beginning after June 30, 2026. This is a targeted tax exemption for a specific organization’s veteran housing operations, not a broad policy change.

Topics ✓ Budget & TaxesSupports Budget & TaxesHB 783 eliminates property tax liability for veteran housing nonprofit via 100% tax credit, providing direct tax relief and supporting fiscal management for housing services.95% confidence ✓ HousingSupports HousingEliminates property taxes for veteran housing nonprofit, reducing costs to maintain affordable housing. Directly supports housing access for veterans.90% confidence ✓ VeteransSupports VeteransEliminates property taxes for nonprofit providing veteran housing, directly funding housing services through tax credit for veterans' housing.95% confidence

Sub-Topics Property Tax Tax Credits Tax Incentives Property Taxes Veteran Housing

in committee · Maryland · House of Delegates Feb 15, 2026

HB 1595: Property Taxes - Authority of Counties to Establish a Subclass and Set a Special Rate for Personal Property of Data Centers

HB 1595 allows Maryland counties (and Baltimore City) to create a special tax category for qualified data centers. It authorizes local governments to set a distinct personal property tax rate for data centers meeting specific investment and job creation requirements - $2 million in Tier I areas or $5 million elsewhere, plus at least five new jobs. The bill amends tax code to define "qualified data center" and establishes the mechanism for counties to implement this special rate through local law. This directly affects data centers meeting the criteria and county tax systems, changing how these facilities are taxed under personal property rules. The special rate applies to all qualifying data center personal property, not real estate.

Topics ✗ Budget & TaxesOpposes Budget & TaxesCreates tax break for data centers (corporate incentive), aligning with 'tax breaks primarily for wealthy' per guidelines, weakening general tax base.90% confidence ✓ TechnologySupports TechnologyTax incentives for data centers advance technology infrastructure by encouraging investment and job creation in critical digital infrastructure.90% confidence

Sub-Topics Property Tax Tax Incentives

Track

signed · Maryland · House of Delegates Apr 14, 2026

HB 1232: Baltimore City - Economic Development Project in Downtown RISE District - Payment in Lieu of Taxes

HB 1232 allows developers to avoid Baltimore City property taxes for new or renovated commercial or multifamily projects in the Downtown RISE District (specifically wards 4, 21, and 22 precincts) by entering a payment-in-lieu-of-taxes agreement with the city. To qualify, the project must include at least one facility like a hotel, office building, or retail space, and the city must first confirm the project’s financial necessity through an economic analysis. Developers must apply for the agreement by June 30, 2036, with building permits secured and financing conditions met. The city must annually report job creation, estimated tax impacts, and other economic benefits to city council and the state legislature. The bill takes effect July 1, 2026.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill grants property tax exemption to developers in RISE District, reducing city tax revenue and creating a tax break for commercial entities, aligning with 'oppose' indicators.90% confidence

Sub-Topics Tax Incentives Tags Economic Development

in committee · Maryland · House of Delegates Feb 5, 2026

HB 840: Property Tax - Credit for Commercial Buildings Rented to Small Businesses

HB 840 would allow Baltimore City and local Maryland counties or municipalities to create a property tax credit for commercial buildings rented to small businesses. This credit applies only to buildings located in designated Arts and Entertainment Districts (under Title 4, Subtitle 7 of the Economic Development Article) or Main Street Maryland Communities (designated by the Department of Housing and Community Development). Local governments would set the credit amount, duration, eligibility rules, and application process. The bill takes effect June 1, 2026, for tax years beginning after June 30, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides property tax credit for small businesses in designated districts, reducing tax burden and supporting local economic development through fiscal relief.95% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives Tags Small Business

Track

signed · Maryland · Senate May 26, 2026

SB 767: Property Tax - Credit for Commercial Buildings Rented to Small Businesses

SB 767 would allow Baltimore City and Maryland counties or municipalities to create a property tax credit for commercial buildings rented at fair market value to small businesses located in two specific zones: Arts and Entertainment Districts (under Title 4, Subtitle 7 of the Economic Development Article) or designated Main Street Maryland communities. Local governments would set the credit amount, duration, eligibility rules, and application process through their own ordinances. The credit applies to property taxes on qualifying buildings and takes effect for tax years beginning after June 30, 2026. This bill directly affects small businesses renting commercial space in these designated areas and the local governments managing property tax policy.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill creates property tax credit for small businesses in designated zones, providing direct tax relief to lower/middle-income entities through local government ordinances.92% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives Tags Small Business

signed · Maryland · House of Delegates May 26, 2026

HB 842: Property Tax Credit - Surviving Spouse of Military Service Member

HB 842 repeals a requirement that a surviving spouse of a service member who died in the line of duty must acquire a dwelling house within two years of the service member's death to qualify for a property tax exemption. The bill directly affects surviving spouses of service members who died in the line of duty, allowing them to qualify for the exemption regardless of when they purchase or acquire the home. Key provisions remove the 2-year acquisition deadline from existing law (Maryland Code, Tax-Property § 7-208(b)), making the exemption available as long as the surviving spouse meets other eligibility criteria. This change takes effect June 1, 2026, applying to all taxable years beginning after June 30, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesRepeals time limit for property tax exemption, expanding eligibility and reducing tax burden for surviving spouses of service members, aligning with tax relief indicators.95% confidence ✓ VeteransSupports VeteransRepeals 2-year deadline for property tax exemption for surviving spouses of fallen service members, expanding access to benefits.95% confidence

Sub-Topics Property Tax Tax Credits Tax Incentives

died · Maryland · House of Delegates Mar 13, 2026

HB 983: State Tax Credits, Modifications, and Exemptions - Alterations and Repeal

HB 983 modifies Maryland's tax credit programs and exemptions. It terminates the Enterprise Zone Program and the One Maryland Economic Development Tax Credit Program on specific dates, ending eligibility for related tax benefits. The bill also limits annual claims for enterprise zone tax credits, restricts carryforwards for film production tax credits, and repeals sales tax exemptions for concrete, telecom equipment, and construction materials. Additionally, it alters eligibility rules for certain vehicle tax credits and ends property tax credits tied to enterprise zones.

Topics ✗ Budget & TaxesOpposes Budget & TaxesTerminates tax credit programs and repeals exemptions, restricting tax benefits and reducing available tax breaks.90% confidence ✗ HousingOpposes HousingTerminates Enterprise Zone tax credits (often used for housing development) and repeals construction material tax exemptions, increasing development costs and reducing incentives for housing projects.85% confidence

Sub-Topics Business Taxes Sales Tax Tax Incentives Property Development Property Taxes Tags Economic Development

Track