Legislation aims to extend the duration of the property tax credit for certain residents

Montgomery County Council and County Executive Marc Elrich are aiming to give some residents more tax relief.

County Council Chairman Gabe Albornoz tabled a bill on Tuesday on behalf of Elrich, which would extend the existing property tax credit for those who apply from five to seven years for:

  • Residents age 65 or older who have lived in the same dwelling for 40 years or more
  • Residents age 65 or older who have served in any branch of the U.S. Armed Forces, Military Reserves, or National Guard, or who are the surviving spouse of someone who has served

The tax credit is 20% of annual property taxes levied on dwellings, for residents above. For non-military families, the credit applies to any homeowner whose property was assessed up to $650,000 the first time they claimed the tax credit.

For military families, this maximum assessed value is $500,000. Applicants must apply for the credit annually, but those who have already received the credit can now apply for up to seven years.

Ludeen McCartney-Green, legislative counsel for the council, said the legislation was possible thanks to a state bill passed by the General Assembly this year, which removes the mandatory requirement for a five-year cap on the property tax credit. The county had no authority to consider the extension until state legislation was passed, she added.

The bill is urgent because the new tax season for the state begins July 1, McCartney-Green said. Therefore, the board should speed up its approval process, she said. Residents have until April 1 to apply for the credit with the county’s Department of Finance.

A public hearing on the bill is scheduled for June 21 at 1:30 p.m.

Steve Bohnel can be reached at [email protected]

Penny D. Jackson