Subdivision 5L. Urban Agricultural Property Tax Credit

In accordance with the provisions of Section 9-253 of the Tax-Property Article of the Annotated Code of Maryland, the owner of real property may receive a property tax credit against the County portion of property tax on urban agricultural properties.

For the purpose of this Section, the following terms have the meanings indicated:

shall be an urban agricultural property that is being used for urban agricultural purposes;

may not be used for any other for-profit purpose that would subject the parcel to property tax liability; and

unless a waiver is granted under Subsection (d), shall produce agricultural products valued at Two Thousand Five Hundred Dollars ($2,500) or more per tax year.

A waiver may be granted for start up properties for up to two (2) years or for a declared natural disaster or drought.

The Director of Finance shall require an owner to verify product value by providing information to include but not limited to copies of sales receipts or invoices, provide an IRS Schedule F or C, IRS 990 series form if the owner is a non-profit and, if relevant, evidence of current market rates.

Application for the tax credit established herein shall be made under oath on an application provided by the Director of Finance. The application shall provide a legal description of the property and such other information or documentation as the Director may require to determine whether the applicant can qualify for the tax credit. The applicant for the tax credit shall submit the application on or before April 1st of each year.

The Director of Finance in coordination with the Prince George's Soil Conservation District shall determine the eligibility of the taxpayer for the tax credit and notify the State Department of Assessments and Taxation that a taxpayer has been approved for the property tax credit and the assessed value of the premises.

The amount of credit granted under this Subdivision is equal to the amount of property tax that would otherwise be imposed on the property, less the amount of any other credit applicable to the property in that tax year.

The term of a tax credit shall be granted for one (1) year.

The property owner may reapply each year.

At any time during the period for which a property tax credit under this Subdivision is granted for urban agricultural property, if the property ceases to be used for urban agricultural purposes, the owner of the property shall be liable for all property taxes that would have been imposed if a property tax credit for urban agricultural property had not been granted.

During any fiscal year, the total of all tax credits granted under this Subdivision shall not exceed One Hundred Thousand Dollars ($100,000). Each applicant is limited to an annual credit of Five Thousand Dollars ($5,000). Tax credits shall be granted in the order in which the Office of Finance receives the complete application under Subsection (b) of this Section. If a complete application granted would cause the limit set forth in this Subsection to be exceeded, the tax credit shall be granted in the next fiscal year or years and in the order received.

the number of applications received;

the number of applications denied;

the number of tax credits approved; and

the location by Councilmanic district of the number of applications received, denied and the amount of tax credit approved.