TAKE ADVANTAGE OF IMPORTANT STATE AND LOCAL TAX CREDIT PROGRAMS
Homestead Property Tax Credit
To help homeowners deal with large assessment increases on their principal residence, state law has established the Homestead Property Tax Credit. The Homestead Credit limits the increase in taxable assessments each year to a fixed percentage. Every county and municipality in Maryland is required to limit taxable assessment increases to 10% or less each year. Prince George’s County has a 2% cap which further limits increases. Check the status of your Homestead eligibility by looking up your property on the Real Property database: http://sdat.dat.maryland.gov/RealProperty/Pages/default.aspx
Homestead tax credit application: https://sdathtc.dat.maryland.gov/
You can also contact the local office of the State Assessments Office at 301-952-2500 or visit: http://www.princegeorgescountymd.gov/pages/assessments.aspx
Assessments Office, Courthouse, 14735 Main Street Upper Marlboro, MD 20772-3050
Homeowners’ Property Tax Credit Program
For homeowners with a combined gross household income of $60,000 or less, this program allows credits against the homeowners’ property tax bill, but the taxes must exceed a fixed percentage of a person’s gross income. It sets a limit on the amount of property taxes a homeowner must pay, based on income. Income is defined as the gross income before any deductions are taken. Nontaxable retirement benefits such as Social Security and Railroad Retirement must be reported as income. You must apply every year no later than September on a standard application supplied by the Department of Assessments and Taxation. Example: If your combined household income is $16,000, your tax limit is $420. You would be entitled to receive a credit for any taxes above the $420. You would be entitled to receive a credit for any taxes above the $420. If your actual property tax bill is $990, you would receive a tax credit in the amount of $570, the difference between the actual tax bill and the tax limit.
Apply here: http://dat.maryland.gov/realproperty/Pages/Homeowners’-Property-Tax-Credit-Program.aspx
Use the Assessment Appeals Process
Everyone’s property is re-assessed every three years, but sometimes your assessment does not really reflect your actual market value based on home sales in your area. The assessment appeal process allows property owners the opportunity to dispute the value determined by the State Department of Assessments and Taxation (SDAT). Property values rise and fall to reflect the market. Customers should file an appeal when the estimated value of their property does not accurately reflect what they believe to be its current market value.
To Appeal Your Assessment, Go Here: http://www.dat.maryland.gov/realproperty/Pages/Assessment-Appeal-Process.aspx
MD Property Owners’ Bill of Rights: http://dat.maryland.gov/realproperty/Pages/Bill-of-Rights.aspx
Maryland Renters’ Tax Credit Program
The State of Maryland Renters’ Tax Credit Program provides Property Tax credits for renters who are age 60 and older or 100% disabled, and also meet certain income requirements. Under HB-340, passed by the Prince George’s County Delegation and the Maryland General Assembly in the 2016 Legislative Session, renters can receive maximum tax relief up to $1,000. This legislation also expands the statewide Renters Tax Credit program and increases the pool of eligible applicants. To get a credit for 2015, you must file by September 1st. Contact the Maryland Department of Assessments and Taxation at 1-800-944-7403 or visit: http://dat.maryland.gov/realproperty/Pages/Renters’-Tax-Credits.aspx
24-Month Residential Leases for Seniors
Prince George’s County seniors living in specified age-restricted housing can now enter into a 24-month lease agreement without incurring fees or rent increases for the term of the lease. Landlords are required to provide written notice about the 24-month period when entering into a new lease or a renewal lease. For more information, contact Code Enforcement Officer Ann Keys at the County’s Department of Permitting, Inspections and Enforcement (DPIE), 301-883-6058 or ALKeys@co.pg.md.us.
Prince George’s County Renters’ Property Tax Relief Supplement
The Prince George’s County Council, aware that residents who qualify for the State’s Renters’ Tax Credit Program are already stretched financially, also passed CB-95-2015. Prince George’s County will automatically provide a Renters’ Property Tax Relief Supplement to each resident who qualifies for the State Renters’ Tax Credit. The County Supplement is 50% of the State payment, and will be dispersed in late spring of each year. No additional application is required. If you have additional questions, please contact the Office of Finance, Treasury Division, at 301-952-4030. Example: If you qualify for a State of Maryland Renters’ Tax Credit of $400, you will automatically receive a tax credit of $200 from Prince George’s County for a total of $600.
Transfer Tax Exemptions for Classroom Teachers and Police and Deputy Sheriffs
The County and State provide total or partial exemptions from the transfer tax assessed at the sale/purchase of homes in the county for teachers, public officers, and deputy sheriffs.
Transfer tax exemption for teachers here: https://www.princegeorgescountymd.gov/DocumentCenter/Home/View/1850
Transfer tax exemption for police officers or deputy sheriffs here: https://www.princegeorgescountymd.gov/DocumentCenter/Home/View/1845
Additional Individual Tax Credits:
Disabled Veterans Tax Exemption – CB-8-2005 Disabled Veterans (retroactive) (PDF) – Tax credit for veterans qualified for disability exemption. Tax credit is equal to full amount of County taxes and applies to taxes previously paid for any year the veteran was qualified for the exemption. Application and proof of claim must be filed with the Director of Finance. Application here: https://www.princegeorgescountymd.gov/DocumentCenter/Home/View/10233
Surviving Spouse of a Fallen Officer Tax Credit
CB-63-2003 Surviving Spouse of a Fallen Law Enforcement/Rescue Worker (PDF) – Annual application and initial proof of claim must be filed with the Director of Finance by April 1 prior to the tax year for which the credit is being requested. The fallen officer must have owned the dwelling at the time of his/her death and the surviving spouse must currently occupy the dwelling. Application here: https://www.princegeorgescountymd.gov/DocumentCenter/Home/View/10229
MD Student Loan Debt Relief Tax Credit – Have you incurred at least $20,000 in undergraduate student loan debt and have at least $5,000 in outstanding undergraduate student loan debt remaining? You may be eligible for a tax credit of up to $5,000 on your 2017 personal income tax. In order to apply, you must complete and submit an application to the Maryland Higher Education Commission by September 15th each year; be a resident of Maryland for the tax year; incurred at least $20,000 in total undergraduate student loan debt; and have at least $5,000 in outstanding student loan debt during the tax year for which you are applying. Apply here: http://mhec.maryland.gov/preparing/Pages/StudentLoanDebtReliefTaxCredit.aspx
Agricultural Land Tax Credit
CB-66-2008 Agricultural Land (PDF) – Property must participate in Maryland or County agricultural land preservation program. Tax credit is equal to the full amount of County taxes. Annual application and proof of claim must be filed with the Director of Finance. Application here: https://www.princegeorgescountymd.gov/DocumentCenter/Home/View/10243
Alternative Energy Tax Credit
CB-11-2008 Alternative Energy/Energy Conservation (PDF) – Tax credit for residential structures that utilize solar energy or geothermal energy devices. Application and proof of claim must be filed with the Director of Finance. Application here:https://www.princegeorgescountymd.gov/DocumentCenter/Home/View/10244. Related Item – Federal Income Tax Credits for Energy Efficiency: https://www.energystar.gov/about/federal_tax_credits
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By Authority, Friends of Mel Franklin, Brendon Laster, Treasurer |
Friends of Mel Franklin
PO Box 3031
Upper Marlboro MD 20773 United States