HB0294 • 2026

Personal Property Tax - Exemptions for Low Assessment - Alteration

Taxes

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Chair, Ways and Means Committee (By Request - Departmental - Assessments and Taxation )
Last action: 2026-01-26
Official status: In the House - Hearing 1/27 at 2:00 p.m.
Effective date: 2026-06-01

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Personal Property Tax - Exemptions for Low Assessment - Alteration

Altering exemptions from the personal property tax for business personal property that has a total original cost below $20,000 by repealing provisions of law that prohibit the State Department of Assessments and Taxation from collecting information or requiring the submission of a personal property tax return from certain businesses that qualify for the exemptions; and applying the Act to all taxable years beginning after June 30, 2026.

What This Bill Does

Altering exemptions from the personal property tax for business personal property that has a total original cost below $20,000 by repealing provisions of law that prohibit the State Department of Assessments and Taxation from collecting information or requiring the submission of a personal property tax return from certain businesses that qualify for the exemptions; and applying the Act to all taxable years beginning after June 30, 2026.

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

2026-01-26 House
Hearing canceled
2026-01-26 House
Hearing 1/27 at 2:00 p.m.
2026-01-14 House
First Reading Ways and Means
2026-01-14 House
Hearing 1/27 at 1:00 p.m.
2025-09-17 House
Pre-filed
Maryland General Assembly
Text - First - Personal Property Tax - Exemptions for Low Assessment - Alteration

Official Summary Text

Altering exemptions from the personal property tax for business personal property that has a total original cost below $20,000 by repealing provisions of law that prohibit the State Department of Assessments and Taxation from collecting information or requiring the submission of a personal property tax return from certain businesses that qualify for the exemptions; and applying the Act to all taxable years beginning after June 30, 2026.

Current Bill Text

Read the full stored bill text

EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
*hb0294*

HOUSE BILL 294
Q1 6lr0198
(PRE–FILED) CF SB 137
By: Chair, Ways and Means Committee (By Request – Departmental – Assessments
and Taxation)
Requested: September 17, 2025
Introduced and read first time: January 14, 2026
Assigned to: Ways and Means

A BILL ENTITLED

AN ACT concerning 1

Personal Property Tax – Exemptions for Low Assessment – Alteration 2

FOR the purpose of altering exemptions from the personal property tax for business 3
personal property that has a total original cost below a certain amount by repealing 4
provisions of law that prohibit the State Department of Assessments and Taxation 5
from collecting information or requiring the submission of a personal property tax 6
return from certain businesses that qualify for the exemptions; and generally 7
relating to exemptions from the personal property tax. 8

BY repealing and reenacting, with amendments, 9
Article – Tax – Property 10
Section 7–227(c) and 7–245 11
Annotated Code of Maryland 12
(2019 Replacement Volume and 2025 Supplement) 13

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 14
That the Laws of Maryland read as follows: 15

Article – Tax – Property 16

7–227. 17

(c) [(1)] Notwithstanding subsection (a) of this section, personal property is not 18
subject to valuation or to property tax if: 19

[(i)] (1) the personal property is owned by an individual and is 20
used in connection with a business, occupation, or profession that is located at the 21
individual’s principal residence; and 22
2 HOUSE BILL 294

[(ii)] (2) the sum total of the personal property, excluding vehicles 1
exempt under § 7–230 of this subtitle, had a total original cost of less than $20,000. 2

[(2) If the individual attests to owning a sum total of personal property with 3
an original cost of less than $20,000, the Department may not: 4

(i) collect personal property information from the individual; or 5

(ii) require the individual to submit a personal property tax return.] 6

7–245. 7

[(a)] A person’s personal property is not subject to valuation or to property tax if 8
all of the person’s personal property statewide had a total original cost of less than $20,000. 9

[(b) If the person attests to owning a sum total of personal property with an 10
original cost of less than $20,000, the Department may not: 11

(1) collect personal property information from the person; or 12

(2) require the person to submit a personal property tax return.] 13

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 14
1, 2026, and shall be applicable to all taxable years beginning after June 30, 2026. 15