Yesterday, County Council Chair Hawkins and Council Member Burroughs' bill CB-029-2022, "A Property Tax Credit for Elderly Individuals," was presented to the Prince George's County Council. The bill, if enacted, would amend the Prince George's County Code to establish a property tax credit for qualifying seniors in the County.
The qualifications for one to receive the tax credit are fairly straightforward. The legislation states that one must be at least 65 years old and have lived in the same home for five years. In addition, the home must have an assessed value of no more than $400,000 at the time of application. Homes accessed in the County for more than $400,000 will not be considered. It should be noted that the reports that the median value of owner-occupied homes in Prince George's County Housing Units between 2010 and 2020 was $319,600. As for how the County homes are currently being valued on the market, the Prince George's County Association of REALTORS stated that in March 2022, the average home in the County was sold for $416,734 (Figure 1), which was 12.4% higher than in March 2021 and 3.2% higher than February.
Figure 1 (Credit: Prince George's County Association of REALTORS)
As for the amount and duration of the tax credit provided, the legislation notes that the allowed amount is twenty percent. Prince George's County will provide this credit every year for five years. There is nothing in the bill about a possible extension of the credit, so, for now, it seems as if the tax credit will end after the five years conclude.
When one applies for the property tax credit, they will need to apply under oath via an application provided by the Prince George's County Director of Finance. The application will have a "legal description" of the home and other information or documentation the Director will require to determine one's qualifications. CB-029-2022 mandates that the County Council receives a program report from the Director of Finance annually on or before December 31st. According to the legislation, the report will include:
Number of applications received
Number of applications denied
Number of tax credits approved
Location by Councilmanic district of the number of applications received, denied and the amount of tax credit approved.
The bill has now been referred to the Committee of the Whole, which will be debated and possibly amended over the next few weeks. If you want more information on this legislation or have concerns, please contact County Council Chair Hawkins and Council Member Burroughs.