A tax credit is available for elderly, disabled, and low income renters. The property tax relief provided by this law is based on a calculation that includes tenant's total income and the actual amount paid as occupancy rent, excluding charges for utilities and furnishings if those charges are included in the rent. The maximum amount of the credit provided for a renter under this law is $750 per year. The credit will not be granted to any renter whose dwelling is exempt from property tax or whose combined net worth exceeds $200,000 on December 31 of the calendar year for which relief is sought.
To be eligible, a tenant must be:
- At least 60 years old; or
- Found to be permanently and totally disabled and has qualified for certain benefits; or
- Found to be permanently and totally disabled by a county health officer or the Baltimore City Commissioner of Health; or
Under age 60 and
- Has gross income below the poverty level established by the U.S. Census Bureau,
- Has 1 or more dependent children under 18 years of age living with the tenant, and
- Does not live in public housing and does not receive a state or federal housing subsidy.
The renter must actually reside in the rented dwelling for at least 6 months of the calendar year for which the credit is sought. “Dwelling” includes a mobile home pad on which the renter’s principal residence is placed.
Information about this tax relief program is included in each packet of state income tax forms and instructions (Section 9-102(d)). Application for the credit must be made by September 1 of the year following the calendar year for which property tax relief is sought, but if the renter has good cause for late filing, the application may be accepted on October 31 at the very latest.
For more information, call the Maryland Department of Assessments and Taxation at 410-767-4433 (Baltimore Area) or 1-800-944-7403 (Toll Free). Applications are available online at their website: https://sdathtc.dat.maryland.gov/.Read the Law: Maryland Code, Tax Property, Section 9–102