Baltimore City Tax Incentives

Newly Constructed Dwelling Tax Credit

Administered by the Baltimore City Department of Finance

Contact Ms. Paula Buchanan, 443-984-3497 or download an application.

- Owner occupies new construction.

- 50% credit in first year to 10% in fifth year.

- Applies to building permits issued after October 1, 1994.

- Owner must apply for credit within 90 days of closing and title transfer.

Rehabilitated Vacant Dwelling Tax Credit

Administered by the Baltimore City Department of Finance

Contact Ms. Paula Buchanan, 443-984-3497

- 5 year reduction in assessment increase due to rehab.

- 100% credit in first year to 20% in the fifth year.

- Encourages rehab of vacant property.

- Up to four (4) dwelling unit property.

- Vacant and abandoned for one year.

Home Improvement Tax Credit

Administered by the Baltimore City Department of Finance

Contact Ms. Paula Buchanan, 443-984-3497

- 5 year reduction in increases due to improvements completed.

- 100% credit in first year to 20% in the fifth year.

- Improvement incentive.

Historic Landmarks and District Tax Credit

Administered by the Baltimore City Commission for Historical and Architectural Preservation (CHAP)

For more information, call 410-396-4866, email web site.

Available for historic properties in Baltimore City and National Register Historic District and individual Baltimore City and National Register Landmarks.

  • Offsets any increase in Baltimore City's taxes that occurs following a substantial rehabilitation project that has been approved by CHAP.
  • The tax credit is a dollar value that is subtracted from an owner's property tax bill each year for 10 years.
  • Program requires a total investment of at least 25% of the full cash value of the property into a qualifying, approved rehabilitation project.
  • All work must be reviewed and approved before any work begins. All work must meet the CHAP Historic Design Guidelines.

Maryland Sustainable Communities Tax Credit Program

Administered by the Maryland Historical Trust (MHT)

For more information, call 410-514-7628, or visit the web site.

  • Available to "certified historic structures," which are properties individually listed in the National Register of Historic Places, contributing to a National Register Historic District, or a locally designated structure or contributing resource to a local historic district that MHT determines to be eligible for the National Register.
  • The credit is a one-time state income tax credit equal to 20 percent of qualified rehabilitation expenditures.
  • The credit is capped at $50,000 in a 24-month period and must have a minimum of $5,000 of eligible expenses to qualify.
  • The property must be a single-family, owner-occupied residence to qualify.
  • All work must be review and approved by MHT before work can begin. All work must meet the Secretary of the Interior's Standards for Rehabilitation.
  • Credits for Commercial properties are also available.