SB 137

SENATE BILL 137
     Q1  6lr0197
  (PRE–FILED)  CF HB 294
     By: Chair, Budget and Taxation Committee (By Request – Departmental –
  Assessments and Taxation)
     Requested: September 17, 2025
     Introduced and read first time: January 14, 2026
     Assigned to: Budget and Taxation
  A BILL ENTITLED
1 AN ACT concerning
2Personal Property Tax – Exemptions for Low Assessment – Alteration
3 FOR the purpose of altering exemptions from the personal property tax for business
4      personal property that has a total original cost below a certain amount by repealing
5      provisions of law that prohibit the State Department of Assessments and Taxation
6      from collecting information or requiring the submission of a personal property tax
7      return from certain businesses that qualify for the exemptions; and generally
8      relating to exemptions from the personal property tax.
9 BY repealing and reenacting, with amendments,
10Article – Tax – Property
11Section 7–227(c) and 7–245
12Annotated Code of Maryland
13(2019 Replacement Volume and 2025 Supplement)
14SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
15 That the Laws of Maryland read as follows:
16Article – Tax – Property
17 7–227.
18(c)     [(1)] Notwithstanding subsection (a) of this section, personal property is not
19 subject to valuation or to property tax if:
20[(i)] (1)  the personal property is owned by an individual and is
21 used in connection with a business, occupation, or profession that is located at the
22 individual’s principal residence; and
     EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
  [Brackets] indicate matter deleted from existing law.
  *sb0137*
2SENATE BILL 137
1[(ii)] (2)   the sum total of the personal property, excluding vehicles
2 exempt under § 7–230 of this subtitle, had a total original cost of less than $20,000.
3[(2) If the individual attests to owning a sum total of personal property with
4 an original cost of less than $20,000, the Department may not:
5(i)    collect personal property information from the individual; or
6(ii)   require the individual to submit a personal property tax return.]
7 7–245.
8[(a)] A person’s personal property is not subject to valuation or to property tax if
9 all of the person’s personal property statewide had a total original cost of less than $20,000.
10[(b)    If the person attests to owning a sum total of personal property with an
11 original cost of less than $20,000, the Department may not:
12(1)    collect personal property information from the person; or
13(2)    require the person to submit a personal property tax return.]
14SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June
15 1, 2026, and shall be applicable to all taxable years beginning after June 30, 2026.