Maryland Statutes
Subtitle 7 - Income Tax Credits
Section 10-716 - For Child Care or Dependent Care

(a)    (1)    In this section the following words have the meanings indicated.
        (2)    “Federal child and dependent care credit” means the child and dependent care credit properly claimed by an individual for the taxable year under § 21 of the Internal Revenue Code.
        (3)    “Qualifying individual” means a qualifying individual within the meaning of § 21(b) of the Internal Revenue Code.
    (b)    An individual or a married couple filing a joint income tax return may claim a credit against the State income tax as provided in this section for expenses paid by the individual or married couple during a taxable year for the care of a qualifying individual if the federal adjusted gross income of the individual or married couple for the taxable year does not exceed:
        (1)    $92,000, in the case of an individual; or
        (2)    $143,000, in the case of a married couple filing a joint income tax return.
    (c)    Subject to subsection (d) of this section and except as provided in subsection (e) of this section, the credit allowed under subsection (b) of this section equals the lesser of:
        (1)    32% of the federal child and dependent care credit; or
        (2)    the State income tax for the taxable year.
    (d)    (1)    If an individual’s federal adjusted gross income for the taxable year exceeds $30,000, the credit otherwise allowed under this section shall be reduced by 1% for each $2,000 or fraction of $2,000 by which the individual’s federal adjusted gross income exceeds $30,000.
        (2)    In the case of a married couple filing a joint income tax return, if the individual’s federal adjusted gross income for the taxable year exceeds $50,000, the credit otherwise allowed under this section shall be reduced by 1% for each $3,000 or fraction of $3,000 by which the individual’s federal adjusted gross income exceeds $50,000.
    (e)    If the credit allowed under this section in any taxable year exceeds the State income tax for that taxable year, the individual or married couple may claim a refund in the amount of the excess if the individual’s or married couple’s federal adjusted gross income does not exceed:
        (1)    $50,000 in the case of an individual; or
        (2)    $75,000 in the case of a married couple filing a joint income tax return.
    (f)    (1)    For each taxable year beginning after December 31, 2019, the maximum income thresholds under subsection (b) of this section and the maximum income thresholds under subsection (e) of this section shall be increased by an amount equal to the product of the maximum income thresholds and the cost–of–living adjustment specified in this subsection.
        (2)    For purposes of this subsection, the cost–of–living adjustment is the cost–of–living adjustment within the meaning of § 1(f)(3) of the Internal Revenue Code for the calendar year in which a taxable year begins, as determined by the Comptroller, by substituting “calendar year 2018” for “calendar year 2016” in § 1(f)(3)(A) of the Internal Revenue Code.
        (3)    If any increase determined under paragraph (1) of this subsection is not a multiple of $50, the increase shall be rounded down to the next lowest multiple of $50.
    (g)    The credit allowed under this section does not affect the treatment under this title of any deduction or exclusion allowed under this title or allowed for federal income tax purposes for expenses paid by the individual for the care of a qualifying individual.

Structure Maryland Statutes

Maryland Statutes

Tax - General

Title 10 - Income Tax

Subtitle 7 - Income Tax Credits

Section 10-701 - Income Tax Withholdings and Estimated Tax Payments Made

Section 10-701.1 - For Tax Paid Under 10-102.1 of This Title

Section 10-702 - For Wages Paid in Enterprise Zone

Section 10-703 - For Tax Paid by Resident to Another State

Section 10-703.2 - Gains From Installment Sale of Property in Another State

Section 10-704 - For Earned Income

Section 10-704.1 - For Purchase of Maryland-Mined Coal

Section 10-704.4 - Credit for Wages Paid Pursuant to Title 6, Subtitle 3 of the Economic Development Article

Section 10-704.5 - For Certified Rehabilitation

Section 10-704.6 - For Neighborhood and Community Assistance

Section 10-704.7 - For Wages, Child Care, and Transportation for Qualified Employees With Disabilities

Section 10-704.8 - For New Job Creating Businesses

Section 10-705 - Evidence of Entitlement Required

Section 10-706 - Effect of Credit on County and State Income Tax Computation

Section 10-707 - For Residential Real Estate Property Tax

Section 10-709 - Low Income Tax Credit

Section 10-710 - For Long-Term Care Insurance

Section 10-714 - One Maryland Economic Development Tax Credits

Section 10-715 - For Providing Employee Commuter Benefits

Section 10-716 - For Child Care or Dependent Care

Section 10-717 - For Certified Classroom Teacher or Teacher at State, Local, or Juvenile Correctional Facility

Section 10-718 - Eligible Long-Term Care Premiums

Section 10-719 - Costs of Energy Storage Systems

Section 10-720 - Electricity Produced From Qualified Energy Resources

Section 10-721 - Qualified Research and Development Expenses

Section 10-722 - Green Buildings

Section 10-723 - Preservation and Conservation Easements

Section 10-724 - For Aquaculture Oyster Floats

Section 10-724.1 - Oyster Shell Recycling

Section 10-725 - Biotechnology Investment Incentive Tax Credit

Section 10-726 - Cellulosic Ethanol Technology

Section 10-730 - Film Production Activity Tax Credit

Section 10-732 - Security Clearance Administrative Expenses and Construction and Equipment Costs Tax Credit

Section 10-733 - Innovation Investment Incentive Tax Credit

Section 10-733.1 - Purchase of Cybersecurity Technology and Cybersecurity Service

Section 10-734 - Qualified Vehicles

Section 10-734.1 - Qualified Vehicle -- Modification and Extension

Section 10-736 - Donations to Qualified Permanent Endowment Funds at Eligible Community Foundations

Section 10-738 - Physician Preceptor in a Preceptorship Program

Section 10-739 - Nurse Practitioner or Licensed Physician in Preceptorship Program

Section 10-740 - Student Loan Debt Relief Tax Credit

Section 10-741 - More Jobs for Marylanders Program Tax Credit

Section 10-742 - Tax Credit for State Income Tax Paid by Qualified Business Entity During First Year to Eligible Apprentice Under More Jobs for Marylanders Program.

Section 10-744 - Independent Living Tax Credit

Section 10-745 - Food Donation Program for Qualifying Farms

Section 10-746 - Hunting and Harvesting of Antlerless Deer

Section 10-748 - Small Business Relief Tax Credit

Section 10-749 - Qualified Workforce Housing Project

Section 10-750 - Donation to a Qualified Permanent Endowment Fund at an Institution of Higher Education

Section 10-751 - Earned Income Credit Against State Income Tax for Qualified Children -- Reductions

Section 10-752 - Tax Credit for Physician Assistant Preceptor in a Preceptorship Program -- Tax Credit Certificate -- Physician Assistant Preceptorship Tax Credit Fund -- Annual Reports

Section 10-753 - Tax Credit for Catalytic Revitalization Projects