Bill Positions

Bill Number: SB 446

Bill Title: State Property Tax - Homeowner's Property Tax Assessment Cap Reduction

Bill Sponsor(s): Senator Pipkin

Subject: Budget & Tax

Committee: W&M

Bill Summary: This bill would have reduced the annual assessment cap on owner-occupied residential property from 10% to 5% for purposes of the state property tax, effective 7/1/10.

History: Similar legislation was introduced in 2007 and 2008 and died without a vote in the Ways & Means Committee. In 2009 SB 446 again died without a vote in the Budget & Taxation Committee.

Chamber Position: Oppose

Position Summary: The Maryland Chamber opposed this bill because it would have unfairly pushed more property tax burden towards real property owned by businesses. The homestead property tax credit already provides owner-occupied residential properties a billion dollar property tax break that causes higher taxes for business property. The General Assembly has repeatedly been advised by the Attorney General that this discriminatory tax treatment violates the state constitutional requirement of uniformity of taxation. Increasing the amount of tax discrimination on businesses is unacceptable.

Position Statement: Click here (pdf)

Chamber Staff: Ronald Wineholt

General Assembly: Click here to view the bill on the Maryland General Assembly's website.