Important Deadline for Homeowners – Homestead Tax Credit Application Due By Dec. 31, 2012

From the office of Sen. Nancy Jacobs:

Limit the amount of your home assessment increase before the deadline!

Homeowners who have not taken advantage of the Homestead Tax Credit must postmark their application to the Maryland Department of Assessments and Taxation by December 31st, 2012 or lose that benefit. The four year grace period allowed by the state for homeowners to apply for that tax credit is coming to an end. If you miss this critical deadline, you will not be able to claim that credit for the 2013 tax year.

Legislation enacted by the 2007 session of the General Assembly requires homeowners to submit a one-time application in order to continue their eligibility for the homestead tax credit. The deadline for postmarking the application is December 31st, 2012. The homestead credit limits the amount of assessment increase on which a homeowner will pay property taxes if the home is the owner’s principal residence.

Back in 2007 it was discovered that too many people were claiming the Homestead Tax Credit for vacation homes or investment properties and denying the counties needed tax dollars. That brought about the law requiring an application for the principal residence. Since 2007 homeowners have received two mailings alerting them to the new law and providing an application. But some homeowners may be taken by surprise if they didn’t read the mailings and they cannot claim a credit next year.

To resolve this, homeowners can go to the Maryland Department of Assessments and Taxation webpage and find out if you have already filed your Homestead Tax Credit application. If not you can download an application and mail it in before the end of December.

The web page is: http://www.dat.state.md.us/sdatweb/homestead.html

If you have questions you can call Assessments and Taxation at:
410-767-2165 or 1-866-650-8783.