Bill > SB488

This bill modifies Maryland's property tax laws by providing local governments with the option to exempt personal property, including manufacturing inventory, from property tax for small manufacturing businesses. Specifically, the bill allows the Mayor and City Council of Baltimore City, as well as county and municipal governing bodies, to fully exempt personal property for manufacturing businesses that employ 50 or fewer employees. The bill defines "manufacturing" broadly, including activities like sawmill operations, mineral extraction, research and development, biological material engineering, and computer software design. The exemption is optional, meaning local governments can choose whether to implement it, and they are authorized to establish their own regulations and procedures for applying the exemption. The bill will take effect on June 1, 2025, and will apply to taxable years beginning after June 30, 2025. This legislation aims to provide financial relief and potentially support small manufacturing businesses by reducing their tax burden.

Budget and Finance

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0488?ys=2025RS