Competitive Commercial Tax Credit

Owners of income-producing properties have the opportunity to earn a state income tax credit (capped at $5 million) that is equal to 20 percent of eligible rehabilitation expenses for substantial rehabilitation projects. Substantial rehabilitation projects are defined as projects with eligible expenses that exceed the greater of the adjusted basis value of the structure or $25,000.

Application Materials

American Brewery American Brewery.

Please read the Competitive Commercial Tax Credit Application Instructions and all supporting materials prior to filling out the application. To download and fill out the actual forms, please read the instructions below.

Downloading fillable PDF application forms

These forms work best with Acrobat Reader 10 and above.

Application Forms

  • Part 1 certifies that a building is a certified historic structure
  • Part 2 certifies that the proposed project meets the requirements of the program
  • Part 3 certifies that the completed project meets the requirements of the program

Associated Forms


To be eligible for the tax credit, a building must:

  • Be a certified historic structure, defined as having at least one of the following designations:
    • Individually listed in the National Register of Historic Places
    • A contributing resource within a National Register Historic District
    • A locally designated structure or contributing resource ​within a local historic district that MHT determines to be eligible for the National Register
    • Located within and certified as contributing to the significance of the Certified Heritage Area

All aspects of the project and application must:

*This requirement is waived if a Federal Part 2 was approved by the National Park Service for the scope of work prior to the state application deadline. However, any work started prior to the State Part 2 approval will not be eligible for the tax credit.

All projects awarded $1,000,000 or higher in tax credits must comply with the state law regarding Corporate Diversity.

  • In the FY2021 legislative session, HB1210 was passed by the General Assembly and signed into law by Governor Hogan with an effective date of July 1, 2022.
  • This bill requires certain entities that receive greater than or equal to $1,000,000 or more in State benefits to demonstrate that they meet certain corporate diversity requirements through either (1) membership of underrepresented communities in its board or executive leadership, or (2) support for underrepresented communities in its mission.
  • To comply with the new law and its implementing regulations, a covered entity must attach either (a) a Corporate Diversity Addendum form as part of the annual report that it files with the SDAT under Tax-Property § 11-101(d), or (b) an affidavit establishing that it is exempt from the new law's requirements to the Part 3 Certification of Completed Rehabilitation Application. An aggregate tax credit greater than or equal to $1,000,000 cannot be awarded unless the applicant certifies that it meets the new law's requirements or is exempt.
    • Four types of entities are expressly exempt from the law’s requirements:
      1. a sole proprietor;
      2. a limited liability company owned by a single member;
      3. a privately held company if at least 75% of the company’s shareholders are family members; and
      4. an entity that has an annual operating budget or annual sales less than $5,000,000 and does not qualify for a State benefit. Bus. Reg. § 19-106(b); COMAR

Eligible Work

Portico Portico.

Eligible expenses are chargeable to a capital account and incurred to rehabilitate the structure after the application fee is paid and the Part 2 Application is approved.

Rehabilitation is defined as work that will return a structure to a state of utility through repair or alteration, making possible an efficient use while preserving portions and features of the structure, site and environment that are historically, architecturally or culturally significant.

If you have questions, please contact tax credit staff.

  • Dana Marks Halpert, Preservation Officer, Tax Credits, at 410-697-9551
  • Carey L. Jones, Preservation Officer, Tax Credits, at 410-697-9560
  • Kate Jaffe, Administrator, Preservation Financial Incentives, at 410-697-9537
  • Bonnie Baden, Tax Credit Program Administrative Assistant, at 410-697-9535

Human Trafficking GET HELP

National Human Trafficking Hotline - 24/7 Confidential

1-888-373-7888 233733 More Information on human trafficking in Maryland

Customer Service Promise

The State of Maryland pledges to provide constituents, businesses, customers, and stakeholders with friendly and courteous, timely and responsive, accurate and consistent, accessible and convenient, and truthful and transparent services.

Take Our Survey

Help Stop Fraud in State Government

The Maryland General Assembly’s Office of Legislative Audits operates a toll-free fraud hotline to receive allegations of fraud and/or abuse of State government resources. Information reported to the hotline in the past has helped to eliminate certain fraudulent activities and protect State resources.

More Information