Anne Arundel County has enacted several local property tax credits for the benefit of the owners of real property located within our jurisdiction. These local property tax credits reduce the liability for your County property taxes. Your property tax liability is determined using the value assessed by the Maryland Department of Assessments and Taxation for your property and the County property tax rate that is set each tax year by the County Executive and County Council via the budget process conducted each year from May to June. Your liability for your County property taxes will be reduced by some amount based on the section of the County Code that authorizes the tax credit. (Other charges that may appear on your real estate tax bill are not considered Anne Arundel County property taxes, and will not be affected by Anne Arundel County property tax credits.)
Tax credits affect how much you will pay for your annual property tax bill from Anne Arundel County, whether you pay the entire annual property tax bill by September 30th or if you pay semi-annually by September 30th and December 31st for your primary residence.
To qualify for this tax credit, you must be employed full-time by Anne Arundel County as 9-1-1 specialist as described in §9-262 of the Tax – Property Article of the Annotated Code of Maryland; meaning an employee of a county whose duties and responsibilities include: (i) receiving and processing 9-1-1 requests for emergency assistance; or (ii) other support functions directly related to 9-1-1 requests for emergency assistance; or(iii) dispatching law enforcement officers, fire rescue services, emergency medical services, and other public safety services to the scene of an emergency.
There is a 50-year deferral County real property on residential real property taxes for eligible homeowners.
A homeowner is eligible for a payment deferral if the owner or at least one of owners has resided in the dwelling for a period of at least five consecutive years; meets on of the following three conditions: is at least 62 years of age; has been found permanently and totally disabled and has qualified for benefits under the Social Security Act, the Railroad Retirement Act, any federal act for members of the United States Armed Forces, or any federal retirement system; or has been found permanently and totally disabled by A County Health Officer; or the Baltimore City Commissioner of Health; and meets the income eligibility under subsection (c).
There is a brownfields tax credit from County real property taxes levied on qualified brownfields sites as authorized by the Tax-Property Article, § 9-229 of the State Code.
Commercial revitalization area means an area designated on a map adopted by ordinance of the County Council that is eligible to have qualified properties in the area receive revitalization credits and includes the Glen Burnie Sustainable Community Overlay Area as shown on the map adopted by the County Council in Bill No. 64-20.
A tax credit from County real property taxes levied on conservation land that is used to assist in the preservation of a natural area, for the environmental education of the public, generally to promote conservation, or for the maintenance of a natural area for public use or a sanctuary for wildlife.
Tax credits available for disabled veterans and their surviving spouses.
Disabled Veterans Property Tax Credit Application Year 1 for Surviving Spouse
Disabled Veterans Property Tax Credit Application Year 1
Disabled Veterans Property Tax Credit Application Re-Application for FY24
Foreign Trade Zone means a foreign trade zone or subzone established under federal law. This section does not apply to operating personal property of a public utility. There is a tax credit against County personal property taxes levied on personal property that is located in a foreign trade zone within the County.
Geothermal Energy Device means a heating or cooling device that is installed using ground loop technology. There is a one‐time tax credit from County real property taxes levied on residential dwellings that use geothermal energy devices installed on or after January 1, 2009. Any device that uses geothermal energy to heat or cool the dwelling shall be eligible for the credit.
High Performance Dwelling means a principal residential structure that meets or exceeds a Silver rating in the current version of the U.S. Green Building Council’s Leadership in Energy and Environmental Design (LEED) Green Building Rating System for homes or a Silver rating of the International Code Council’s 700 National Green Building Standard (NGBS). There is a tax credit from County real property taxes on high performance dwellings as authorized by § 9‐242 of the Tax‐Property Article of the State Code.
The State of Maryland has developed a program which allows credits against the 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 his or her income.
This is a property tax credit authorized in State of Maryland law that insulates homeowners against large assessment increases on their principle residence. More information on this property tax credit is provided by the Maryland Department of Assessments and Taxation.
In this section, the following words have the meanings indicated. "Dwelling" has the meaning set forth in § 9-105 of the Tax-Property Article of the State Code. "Public Safety Officer" has the meaning described in § 9-260 of the Tax- Property Article of the State Code. There is a tax credit from County real property taxes levied on a dwelling owned by an eligible Public Safety Officer.
This application is for an exemption from County Real Estate Taxes in accordance with § 4-2-201(b) of the Anne Arundel County Code.
"Religious Group or Organization" means a religious organization that is certified under § 501(c)(3) or (d) of the Internal Revenue Code. There is a tax credit from County real property taxes levied against a property located in a commercial zoning district for that portion of the property that is leased, occupied, and used by a religious group or organization exclusively for public religious worship, educational purposes, or office space necessary to support or maintain public religious worship or educational purposes, and for which the religious group or organization is contractually liable. The credit does not apply to property that is leased,
occupied, or used for the purpose of making a profit or when the religious group or organization no longer occupies the property.
In this section, the following words have the meanings indicated: “Dwelling” has the meaning set forth in § 9-105 of the Tax-Property Article of the State Code. “Retired veteran” has the meaning set forth in § 9-258(a)(3)(ii) of the Tax-Property Article of the State Code. There is a tax credit from County real property taxes levied on a dwelling owned by an eligible retired veteran.
“Solar Energy Equipment” means collectors, photovoltaic arrays, solar panels, storage tanks, and all other hardware that is necessary and used as a part of the operating mechanism that collects, stores, generates or distributes energy by using the rays of the sun. There is a one‐time tax credit from County real property taxes levied on residential dwellings that use solar energy devices installed on or after January 1, 2007.
In this section, the following words have the meanings indicated: “Stormwater management practices” means practices recognized by the Department of Public Works for the permanent reduction and change of drainage patterns of stormwater runoff from structures and other impervious surfaces, including, but not limited to, living roofs, sidewalk infiltration planters, permeable pavers, bioretention installations, cisterns and other permanent diversion and infiltration methods. The Department of Public Works shall provide a list, updated annually, of the stormwater management practices that qualify for the credit. “Qualified improvements” means physical improvements made to a residential or commercial property for stormwater management that have been approved by the Department of Public Works. “Qualified property” means a new or existing commercial or residential property on which qualified improvements are installed to reduce stormwater runoff from the property. There is a credit from County real property taxes levied on residential and commercial property and any improvements thereon that install or implement permanent stormwater management practices.
Anne Arundel County offers several tax credits including optional property tax credits for: 9-1-1 Specialists, Agricultural Land, Airport Noise Zone, Commercial Revitalization Area, Conservation Land, Disabled or Fallen Law Enforcement Officers and Rescue Workers, Disabled Veterans and their Surviving Spouses, Geothermal Energy, High Performance Dwellings, Historic Preservation, Public Safety Officers, Religious Organizations, Residential Rehabilitation, Retired Veterans, Solar Energy, and Stormwater Management and Erosion Control.
Additional information about the tax credits and applications for these local property tax credits can be found in the above list.
Yes, the State of Maryland allows for the Homeowner’s Property Tax Credit, which considers income for the purpose of calculating a property tax credit. More information on this tax credit is provided by the Maryland Department of Assessments and Taxation.
If you have a copy of your most recent Anne Arundel County property tax bill, the 12-digit account number (the format is XXXX-XXXX-XXXX) is your property tax account number. If you do not have a copy of your most recent property tax bill, you can look up your previous property tax bills via your property address through the County website.
You can also use the account identifier provided by the Maryland Department of Assessments and Taxation. You can use your property address to look up the account identifier (format is District, Subdivision, and Account Number) through the Maryland Department of Assessments and Taxation website.
Each property tax credit has the effect of reducing your liability for Anne Arundel County property taxes. If your actual tax liability is less than the maximum amount of the property tax credit authorized in County Code, then the property tax credit will reduce that tax liability to $0. You cannot receive property tax credits greater than your actual liability for Anne Arundel County property taxes.
If you receive the Homestead Property Tax Credit, then your actual tax liability is already reduced by a certain amount and that can affect the other Anne Arundel County property tax credits you received. This is also true if the tax credit only applies toward the taxes calculated on the assessed value of your house rather than the total assessed value of your property (e.g., house and land).
Anne Arundel County property tax credits will not apply towards the Solid Waste service charge, the Waterway Protection and Restoration Fund (WPRF) fee, State of Maryland property taxes, or City of Annapolis property taxes.
Anne Arundel County property tax credits reduce your liability for your local property taxes. You may need to contact a tax professional regarding questions on how this affects your federal or state income taxes, as the County does not provide tax advice regarding income taxes.
Once your tax credit application has been approved, Anne Arundel County will send you a letter or an email informing you that your application has been approved. You can also call (410) 222-1748 and ask about the status of your tax credit application.
If your application is incomplete or there are additional questions about the information you provided, Anne Arundel County will contact you in order to complete your property tax credit application.
Since the property tax credit reduces your tax liability, you will normally only pay what you owe per your property tax bill in a given year. If your property taxes are paid via escrow by your mortgage company, you will need to contact your mortgage company to determine how the property tax credit may affect your escrow or otherwise advise them as to how the tax credit may affect your property tax bill (e.g., one-time tax credit).
If you have already paid your property taxes and subsequently receive a tax credit on your property tax bill, then you will receive a refund based on the amount of the overpayment on your property tax bill. Refunds will be processed automatically, you do not need to request the refund.
Certain property tax credits, such as the Public Safety Officer Property Tax Credit or the High Performance Dwelling Property Tax Credit, cannot be combined with other tax credits. Other tax credits, such as the Solar Energy Property Tax Credit or Geothermal Energy Property Tax Credit are not limited in this fashion. Please review the application and the County Code for a given property tax credit to see whether such a restriction applies.
Be advised that since each property tax credit reduces your liability for Anne Arundel County property taxes, you still cannot receive an amount for tax credits greater than your property tax liability. In order to receive the full benefit of the tax credit, you may wish to apply for different property tax credits in different tax years.
A copy of a lease agreement is not acceptable, since it may include costs that are not allowed per Anne Arundel County Code. You will need to obtain a “Project Cost Statement” or similar documentation for the total cost of your system, which needs to specify the cost of materials, supplies, and installation costs associated with the equipment. Contact the vendor of the leased system for such documentation.
To qualify for the Retired Veterans Tax Credit, you need to satisfy the requirements per 9-258(A)(3)(II) of the Tax-Property Article of the Annotated Code of Maryland. You will need to be age 65 or older and have retired from military service, and provide the required documentation per the application in order to be considered for that property tax credit.
Each property tax credit has a specific deadline set in the County Code that authorizes the property tax credit. This deadline is disclosed on the corresponding tax credit application, such as April 1st for the Public Safety Officer Property Tax Credit. Your application must be received by that date in order to be considered timely. Because the application deadlines are set in County Code, our office has no authority to waive or extend these deadlines.
Our office may provide confirmation of receipt via email as a courtesy if you provide an email address on the tax credit application. If you do not receive a confirmation of that receipt, you should call the Tax Credit Department at (410) 222-1748 to inquire as to whether we received the tax credit application. If you are mailing your application less than 14 days before the deadline, it is suggested that you use a traceable form of delivery. Anne Arundel County is not responsible for delays in mail delivery.