Howard County has expanded eligibility for a property tax credit for seniors, and extended the length of another tax credit to help residents age in place.
The Howard County Council unanimously approved changes to the county’s Senior Tax Credit and Aging in Place Tax Credit in October, and the legislation went into effect on Dec. 9.
“As our county’s older adult population continues to grow and eclipse our younger generations, it is imperative that we continue to take the necessary steps to ensure these valued community members are able to comfortably, securely, and safely age in place,” Howard County Executive Calvin Ball said in a news release announcing details of the tax credit changes. “I applaud the Howard County Council for recognizing the vital importance of updating these tax credits to reflect the trying times and financial strains our older adults face on a daily basis.”
The Howard County Department of Finance’s Senior Tax Credit was established in 2006 and was restricted to households with a combined household income at or below 500 percent of the federal poverty level and with a combined household net worth of no more than $500,000. Now, that number stands at $800,000 to account for approximate inflation that has occurred since 2007.
The new legislation also includes an annual adjustment for inflation for the net worth cap, based on the Consumer Price Index for the Baltimore-Columbia-Towson area beginning in tax year 2026. The Howard County Department of Finance will announce the updated thresholds no later than the last day of February each year.
The Aging in Place Tax Credit has been available since 2017. Before the new legislation, it expired after a property owner received the credit for eight years, but now they can receive it for 10 years.
Additionally, clarifying language was added through Amendment 1 to include more people to be eligible for the Aging in Place Tax Credit. If a person is an active duty military member, retired, or honorably discharged with a service-connected disability rating of 75 to 99 percent, or a surviving spouse of an individual who had a service-connected disability rating of 75 to 99 percent, who has not remarried, they are now eligible for this tax credit.
An additional amendment ensures owners receive an automatic renewal if they submit verification that they are still eligible.
The legislation also establishes a temporary commission to review the long-term benefits and fiscal impact of the Senior Tax Credit, the Aging in Place Tax Credit, and property tax deferral program for older adults.
For more information and eligibility details about the tax credits enacted on Dec. 9, visit the Department of Finance’s “Tax Credits” website, call the department’s Tax Customer Service Line at 410-313-2062, or email customer service.
