The Montgomery County Council is considering three tax-credit proposals for families with children, homeowners, and public school employees. The County Council held public hearings on all three bills on October 13, with committee work sessions scheduled for October 29.
Bill 46-26 would create a County grant supplementing Maryland’s child tax credit. Taxpayers with federal adjusted gross income of $15,000 or less could receive $500 per qualifying child, decreasing by $50 for each additional $1,000 in income above that threshold.
The bill would apply to children under age six and qualifying children with disabilities under age 17. The County credit would build on the State child tax credit rather than create a separate eligibility structure.
Bill 47-26 would expand the County’s supplement to Maryland’s Homeowners’ Property Tax Credit. The bill would raise the County income limit from $75,000 to $106,800.
For homeowners with combined gross income between $75,000 and $106,800, the bill would add new steps to the credit calculation. The proposal would apply a 25 percent factor for income between $75,000 and $90,000 and a 50 percent factor above $90,000 when calculating the County supplement.
Bill 48-26 would create a $2,500 property tax credit for eligible Montgomery County Public Schools employees who own and occupy a home in the County. Supporters have framed the proposal as a recruitment and retention tool for teachers and other school employees facing high housing costs.
The three proposals demonstrate the different ways counties can use targeted tax credits to address affordability and workforce pressures. Rather than changing a broad tax rate, each bill directs relief toward a defined group of residents.
All three bills remain before the County Council’s Government Operations and Fiscal Policy Committee. Committee work sessions are scheduled for October 29.
Useful Links
Bill 46-26: Child Tax Credit Supplemental Grant
