(Annapolis) - Thursday, April 6, 2006, Senate Bill 382, sponsored by Senator Kathy Klausmeier (D-Baltimore County), was signed into law by Governor Robert L. Ehrlich, Jr. SB 382 expands the Homeowners’ Property Tax Credit Program by increasing the maximum eligible assessment of the taxed property and altering the percentages of income used to calculate the credit. This law also increases the maximum tax credit allowed under the Renters’ Property Tax Relief Program.

"The property tax hurts most those people for whom their house is their largest asset. These are our seniors and our lower middle-income citizens. Following the recent boom in real estate values, many people were left out of the Homeowners’ Property Tax Credit Program," said Senator Klausmeier, "After recent reassessments, a $150,000 home is no longer the norm in Baltimore County. People on fixed incomes are living in houses worth more than that. We needed to include those people in the property tax credit program."

For Baltimore County residents the average home assessment is $164,634, over the former assessment limit for the program. By opening this credit to more homeowners, and by adjusting the calculation formula, Baltimore County residents will receive an additional two million dollars in property tax credits. Attached is a table that explains the new guidelines as compared to the former guidelines.