MACo Legislative Director Kevin Kinnally testified this week before the House Ways and Means Committee at opposition at HB 215 – Personal Property Tax – Depreciation of Assessed Value. This bill would bring Maryland’s personal property depreciation schedule into line with federal law, which allows taxpayers to fully write off the value of certain personal property.
This bill would significantly undermine county revenue structures and drain limited local funds for public health, schools, public safety, road maintenance and other essential public services for Maryland families.
From MACo Testimonial:
HB 215 proposes to drastically change the amortization schedule for long-lived personal property without sufficient justification. Under current law and regulations, personal property generally depreciates over an eight-year cycle. After the eighth year, the property remains at 25% of its value and is assessed on that percentage of value until the property is no longer in use. Many categories of personal property have a lifespan of well over eight years.
Counties are willing to work with state policymakers on efforts to reduce the burden on businesses through personal property assessment processes. However, the significant costs of this bill are simply unsustainable. Cuts of this magnitude to essential government services would wreak havoc on public health, public safety, education and the quality of life of shared voters.
Learn more about MACo’s advocacy:
Track MACo’s advocacy efforts during the 2022 legislative session on MACo’s Legislative Tracking Database.
Learn more about MACo’s 2022 Legislative Initiatives.
Read more about General Assembly news on MACo’s Conduit Street blog.