Explanation: Capitals indicate matter added to existing law.
[Brackets] indicate matter deleted from existing law.
* Warning: This is an unofficial, introductory copy of the bill.
The official copy considered by the City Council is the first reader copy.
Introductory*
City of Baltimore
Council Bill
Introduced by: Councilmember Costello
A Bill Entitled
An Ordinance concerning
title
Property Tax Credit - Veterans
For the purpose of establishing a tax credit against the property tax imposed on the principal residences of certain veterans or their surviving spouses; imposing certain limitations, conditions, and qualifications for credit eligibility; providing for the amount, duration, and administration of the credit; defining certain terms; providing for a special effective date; and generally relating to a property tax credit for qualified veterans or their surviving spouses.
body
By authority of
Tax-Property Article
Section 9-258
Maryland Code
By adding
Article 28 - Taxes
Section 10-23
Baltimore City Code
(Edition 2000)
Section 1. Be it ordained by the Mayor and City Council of Baltimore, That the Laws of Baltimore City read as follows:
Baltimore City Code
Article 28. Taxes
Subtitle 10. Credits
§ 10-23. Veterans.
(a) Definitions.
(1) In general.
In this section, the following terms have the meanings indicated.
(2) Dwelling.
“Dwelling” has the meaning stated in State Tax-Property Article § 9-105 {“Homestead tax credit”}.
(3) Eligible individual.
“Eligible individual” means:
(i) an individual who is at least 65 years old and is a retired member of the uniformed services of the United States as defined in 10 U.S.C. § 101, the military reserves, or the National Guard; or
(ii) a surviving spouse, who has not remarried, of an individual described in subparagraph (i) of this paragraph.
(4) Finance Director.
“Finance Director” means the Director of the City Department of Finance or that Director’s Designee.
(5) Homeowner.
“Homeowner” has the meaning stated in State Tax-Property Article § 9-105 {“Homestead tax credit”}.
(6) Homestead dwelling.
“Homestead dwelling” means a dwelling that is :
(i) located in Baltimore City;
(ii) owned by and used as the principal residence of an eligible individual; and
(iii) otherwise eligible for the tax credit authorized by State Tax-Property Article § 9-105 {“Homestead tax credit”}.
(b) Credit granted.
In accordance with State Tax-property Article § 9-258, a real property tax credit is granted against the City property tax imposed on the homestead dwelling of an eligible individual.
(c) Amount of credit.
The amount of the credit granted under this section is 20% of the City property tax imposed on the dwelling.
(d) Limitation on other credits.
In any taxable year for which a property receives a credit granted under this section, the property may not receive any other property tax credit provided by Baltimore City except:
(1) the local portion of the credit authorized by State Tax-Property Article § 9-105 {“Homestead tax credit”}; and
(2) the credit authorized by § 9-221 {“Offsetting income tax rates”}.
(e) Application and annual verification.
(1) An eligible individual seeking to obtain and annually maintain a credit under this section must:
(i) at least 90 days before the 1st tax year for which the credit is sought, file with the Finance Director an application for the credit; and
(ii) at least 90 days before each subsequent tax year, file with the Finance Director a verification that the property continues to be:
(A) used as the eligible individual’s principal residence; and
(B) otherwise eligible for the tax credit authorized by this section.
(2) The application and annual verification must be in the form and contain the information that the Finance Director requires.
(f) Term of credit.
The credit granted under this section shall be for a period of 5 years, subject to compliance with the annual verification requirements of subsection (e) of this section.
(g) Administration.
The Finance Director:
(1) shall adopt rules and regulations to carry out this section, including procedures, forms, and documentation required to apply for the credit authorized by this section and to periodically verify continuing eligibility for the credit;
(2) in those rules and regulations, may define or further define any terms used in connection with the qualifications for or computation of the credit authorized by this section;
(3) may settle disputed claims arising in connection with the credit authorized by this section;
(4) must prepare an annual written report to the Mayor and City Council detailing the number of eligible individuals who have utilized the tax credit in the preceding year; and
(5) may delegate to any other City agency or employee the Director’s powers, duties, or functions in connection with the administration of the credit authorized by this section.
(h) Criminal penalties.
Any person who knowingly makes a false statement on or in connection with an application for a tax credit under this section or in connection with any report or statement supporting a property’s continued eligibility for a tax credit granted under this section is guilty of a misdemeanor and, on conviction, is subject to a fine of not more than $1,000 or to imprisonment for not more than 12 months or to both fine and imprisonment for each offense.
Section 2. And be it further ordained, That the catchlines contained in this Ordinance are not law and may not be considered to have been enacted as a part of this or any prior Ordinance.
Section 3. And be it further ordained, That this Ordinance takes effect when it is enacted, applicable for all taxable years beginning on or after July 1, 2020.