Rate Breakdown

Property taxes in Howard County are calculated by multiplying the assessed value (minus exemptions) by the total local millage rate.

How Property Tax Works in Howard County

In Howard County, property taxes are calculated based on the assessed value of your real property as determined by the Maryland Department of Assessments and Taxation (SDAT). Every three years, the SDAT conducts a reassessment of all properties. If your property value increases, the increase is phased in over the three-year cycle, while any decrease is applied immediately.

The total tax bill is derived by applying the combined tax rate—which includes the Howard County real property tax rate, the state property tax rate, and any applicable special district taxes—to your property’s taxable assessment. Note that the "taxable assessment" may be lower than the "market value" due to the Homestead Property Tax Credit, which limits the annual increase in taxable assessment for owner-occupied residential properties.

Available Exemptions

Maryland offers several programs to help reduce the tax burden for eligible homeowners. These credits are designed to assist specific groups in maintaining their primary residences:

• Homestead Property Tax Credit: Limits the annual increase in taxable assessment for owner-occupied homes. In Howard County, this cap is set at 5% to prevent drastic tax spikes.
• Senior Citizen Tax Credit: Howard County provides a local property tax credit for homeowners aged 65 and older who meet specific income and residency requirements.
• Disabled Veterans Exemption: Veterans who are 100% service-connected disabled, or the surviving spouses of such veterans, are fully exempt from paying real property taxes on their primary residence.
• Homeowners’ Property Tax Credit Program (Circuit Breaker): This state-funded program grants credits to homeowners who meet specific income guidelines, regardless of age, by capping the amount of property tax paid as a percentage of gross household income.

Payment Schedule & Deadlines

Howard County property tax bills are typically mailed in July. The county offers both annual and semi-annual payment options:

• Annual Payment: The full amount is due by September 30. If paid in full by this date, no interest or penalties apply.
• Semi-Annual Payment: If you choose the semi-annual plan, the first half is due by September 30, and the second half is due by December 31. A small service charge applies to the second installment.

Failure to make payments by the designated deadlines will result in interest and penalties, which accrue monthly. Delinquent accounts may eventually be subject to the annual Tax Sale, where the county auctions liens on properties to recover unpaid taxes.

Appealing Your Assessment

If you believe the assessment of your property is inaccurate, you have the right to appeal. You must file your appeal within 45 days of the date on your "Notice of Assessment." The process begins with an informal hearing with an SDAT representative. If you remain dissatisfied with the outcome, you may proceed to a formal hearing before the Property Tax Assessment Appeal Board. It is recommended that you gather evidence, such as recent appraisals or sales data of comparable properties in your neighborhood, to support your claim.