Maryland Taxpayers to Benefit from Expanded Deductions & Credits

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  Politics and Government on Sun, Mar 22nd, 2026 by Patch
      Locale: UNITED STATES

Maryland Taxpayers Benefit from Expanded Deductions and Credits as 2026 Filing Season Begins

ANNAPOLIS, MD - Sunday, March 22nd, 2026 - Maryland's tax season is in full swing, and residents preparing their 2024 tax returns will find a landscape of adjusted deductions and credits designed to ease the financial burden. While the basic tenets of filing remain consistent, key changes in standard deductions, property tax credits, and Earned Income Tax Credits (EITC) promise potential savings for many Marylanders. This year, navigating these adjustments is more important than ever, especially given the continued economic fluctuations.

Tax season officially commenced on January 30th, and the Maryland Department of Tax and Assessment (MDTA) is urging taxpayers to begin gathering their necessary documents and familiarize themselves with the updated regulations. The MDTA website (https://www.marylandtaxes.gov/) serves as a central hub for information, downloadable forms, frequently asked questions, and helpful publications. Taxpayers needing direct assistance can also reach out via the dedicated taxpayer assistance line at 1-800-MD-TAXES.

Standard Deduction Sees Modest Increase

The standard deduction, a crucial element for many taxpayers who don't itemize, has experienced a slight, but noteworthy, increase for the 2024 tax year. Single filers will now benefit from a standard deduction of $2,460, a $30 increase from the previous year's $2,430. Married couples filing jointly will see their standard deduction rise to $4,920, up from $4,860. While seemingly small, these adjustments can collectively represent significant savings, especially for those with lower incomes or limited eligible itemized deductions.

Easing the Property Tax Burden with Expanded Credits

Maryland homeowners continue to receive support through property tax credits. For the 2024 tax year, eligible residents can claim a credit of up to $1,000 to help offset the costs associated with property taxes. This credit is particularly vital in high-cost areas of the state, where property taxes can represent a substantial portion of household expenses. Eligibility requirements vary, so homeowners are encouraged to review the criteria outlined on the MDTA website to determine if they qualify. The continued provision of this credit demonstrates the state's commitment to making homeownership more affordable.

Earned Income Tax Credit Offers Significant Relief to Working Families

The Earned Income Tax Credit (EITC) remains a cornerstone of support for low-to-moderate income working individuals and families. This credit is designed to supplement earnings and incentivize work, and the 2024 amounts have been adjusted upwards. Taxpayers with one qualifying child can now claim up to $3,761, a considerable increase from previous years. Families with two qualifying children can receive up to $6,164, while those with three or more children are eligible for up to $6,661.

It's crucial to note the EITC has specific eligibility requirements based on income, filing status, and the number and age of qualifying children. The MDTA provides detailed information and worksheets to help taxpayers determine their eligibility and calculate the correct credit amount. Incorrect claims or misunderstandings surrounding the EITC are common, so utilizing available resources is highly recommended.

Free Tax Assistance Available

For those who find the tax filing process daunting, or who require assistance understanding the new deductions and credits, free tax preparation services are readily available. The IRS Volunteer Income Tax Assistance (VITA) program offers free tax help to people who generally make $60,000 or less, persons with disabilities, and limited English-speaking taxpayers. The Tax Counseling for the Elderly (TCE) program focuses on providing free tax help to all taxpayers, particularly those age 60 or older, specializing in pensions, retirement-related issues, and Social Security benefits. Information on locating VITA and TCE sites can be found on the IRS website (https://www.irs.gov/).

Looking Ahead: Potential Future Changes

Maryland, like other states, frequently evaluates its tax structure to ensure fairness and economic competitiveness. Discussions are ongoing regarding potential future adjustments to the tax code, including potential modifications to income tax brackets and expansion of targeted tax credits. Taxpayers are encouraged to stay informed about these changes through the MDTA website and reputable financial news sources. Understanding these potential shifts will be key to maximizing tax benefits in future filing seasons.