Homeowners’ Property Tax Credit?

Application timeline: February 2023 – October 1, 2023

Click here to apply online.

Paper applications are available for download.

Processing timeline: 30 – 90 days

When applications become available:

Request an appointment by calling 443-961-6220 or emailing Jamila Blake.

In person at your local assessment office or your local community action partnership.

Before your eligibility according to income can be considered, you must meet four basic requirements:

1. You must own or have a legal interest in the property.
2. The dwelling on which you are seeking the tax credit must be your principal residence where you live at least six months of the year, including July 1, unless you are a recent home purchaser or unless you are unable to do so because of your health or need of special care.
3. Your net worth, not including the value of the property on which you are seeking the credit or any qualified retirement savings or Individual Retirement Accounts, must be less than $200,000.
4. Your combined gross household income cannot exceed $60,000.

How is the credit figured?
The tax credit is based upon the amount by which the property taxes exceed a percentage of your income according to the following formula: 0% of the first $8,000 of the combined household income; 4% of the next $4,000 of income; 6.5% of the next $4,000 of income; and 9% of all income above $16,000.

This chart (scroll down the page) in $1,000 increments shows you the specific tax limit for each income level.

For Example:
If your combined household income is $16,000, you see from the chart that your tax limit is $420. You would be entitled to receive a credit for any taxes above the $420. If your actual property tax bill was $990, you would receive a tax credit in the amount of $570 — this being the difference between the actual tax bill and the tax limit.

How Does One Receive The Credit?
Homeowners who file and qualify by April 15 will receive the credit directly on their tax bill. Persons who file later up until the October 1 deadline will receive any credit due in the form of a revised tax bill.

Applicants filing after April 15 are advised not to delay payment of the property tax bill until receipt of the credit if they wish to receive the discount for early payment offered in some subdivisions. A refund check will be issued by the local government if the tax bill was paid before the tax credit was granted.

Questions about the Homeowners’ tax credit program?

1. Refer to the Homeowners’ Tax Credit page
2. Email sdat.baltcity@maryland.gov
3. Call 410.767.4433
4. Contact us