County Executive Barry Glassman proposed legislation Tuesday providing property tax relief for eligible seniors and retired veterans in Harford County beginning July 1, 2018 and remaining in effect for five years. The legislation calls for a 20% reduction in residential property taxes owed by citizens who are 65 and older and have lived in the same dwelling for 40 years, or are retired veterans 65 and older. The tax break, in the form of a tax credit, would apply only for homes with a maximum assessed value of $400,000. If approved by the County Council, the tax credit would save an average of $550 for eligible homeowners. The eligibility and term of the tax credit for seniors and retired veterans are required elements of enabling legislation signed by Maryland Gov. Larry Hogan in 2016.
The budgetary effect of the legislation would become revenue neutral by phasing out an existing discount on early tax payments available to all property tax payers. Those discounts have averaged $21 per property tax account, per year.
“By following our path to fiscal balance and responsibility, my administration has made local government more efficient and halted the growing debt burden on our next generation,” Harford County Executive Barry Glassman said. “This has allowed us to fund overdue salary increases for teachers, law enforcement and county employees in each of the last three years. With this new legislation, we are taking the same balanced approach with a revenue-neutral tax credit that provides relief for senior citizens who have been longtime Harford County residents, and for those who retired here and have defended our nation.”
The proposed legislation will be available online at http://www.harfordcountymd.gov/1548/Legislation.