Members Urged to Support Municipal Tax Class Limitation Bill

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At AOBA’s request, legislation has been introduced in the Maryland General Assembly to make it more difficult for municipal corporations to impose discriminatory tax rates on multifamily rental and commercial property owners. While most municipal governments impose one real property tax rate on all real property owners, several municipalities in Prince George’s County have adopted classified tax rates with higher levies on multifamily rental and commercial property owners. If you own property in Berwyn Heights, Cheverly, New Carrollton or North Brentwood, you are paying those higher tax rates. HB 492 would require that municipal tax classes be adopted in an ordinance that is separate from the budget, allowing affected property owners a better opportunity to contest the ordinance. The bill would also limit the eligible tax classes to those specified in state law, so a municipality would no longer be able to target one small segment of its tax base for higher property taxation.

The bill will be heard on Feb. 13 at 1:00pm in the House Ways & Means Committee. AOBA will support the bill but needs additional support in the form of letters and witnesses from our members. Contact Ron Wineholt at to help engage in support of this important bill.