Homeowners Tax Credit Program

The State of Maryland's Homeowners Tax Credit program allows credits against a homeowner's property tax bill if the property taxes exceed a fixed percentage of the person's gross income. In other words, it sets a limit on the amount of property taxes any homeowner must pay based upon their income. 

The City of Hyattsville has adopted this program with an additional feature to give residents a better window of opportunity.

State of Maryland Program Requirements

Applicant(s) must satisfy four (4) legal requirements before eligibility can be considered:

  1.  The dwelling for which the application is being made must be the applicant’s principal residence. This means the applicant must reside or expect to reside for more than six (6) months of the tax year, including July 1, 2023, unless they are unable to do so for reasons of illness, need of special care, or the property was recently purchased. An individual who permits, pursuant to a court order or separation agreement, a spouse, former spouse, or children of that person’s family, to reside in a dwelling in which the individual has a legal interest, meets the residency requirement. A homeowner may claim credit for only one principal residence.
  2. The applicant must have legal interest in the property. Land installment sales, contract purchases, holders of a life estate and beneficiaries of certain trusts have sufficient legal interest.
  3. The applicant's net worth, excluding the value of the property for which the credit application is being made and the cash value of IRAs or qualified retirement savings plans, must not exceed $200,000, as of December 31, 2022.
  4. The applicant's combined gross household income cannot exceed $60,000.

City of Hyattsville Program Addition

For residences within the incorporated City of Hyattsville, the City credit shall be 15% of the State homeowners tax credit on a maximum of $350,000 of the assessed value of the principal residence, if the combined income of the household is less than $80,000.00 and the net worth of the household, excluding principal residence, is less than $200,000.

Application Process

This application can be filled out on your PC, if handwritten please print legibly. Please use black or blue ink only.

2023 APPLICATION FOR HOMEOWNERS TAX CREDIT

You may also file this application online; you will need an Access Number issued by the Maryland State Department of Assessments and Taxation to do so. If you would like to apply online, please email your name, address, and the county in which you reside to sdat.homestead@maryland.gov. An Access Number will be emailed to you with additional information.

If you have any questions, please email sdat.homestead@maryland.gov or call 410-767-2165 (toll-free 1-866-650-8783).

Additional Resources