BIPARTISANSHIP ALERT: Hometown Heroes Act

Both Chambers of Maryland General Assembly Vote Unanimously to Approve Important Legislation Providing Tax Relief to Maryland First Responders and Emergency Personnel

“But let’s get started moving toward that goal right now by passing the Hometown Heroes Act to eliminate income taxes on the pensions of those who have put their lives on the line for us: our retired military, police, fire, and first responders.” - Governor Larry Hogan, February 1, 2017

Governor Hogan Proposed The Hometown Heroes Act As Part Of His Robust 2017 Legislative Agenda

Under Governor Hogan’s Proposal, Retired Law Enforcement, Fire, Rescue And Emergency Response Personnel Would Be Exempted From State Tax On Their Retirement Income, Specific To Their Service As A First Responder.“The retirement income that is eligible under paragraph (1) of this subsection to be included in the subtraction under subsection (b) (1) of this section may not exceed an amount equal to: 50% of the amount of income that is eligible under paragraph (1) of this subsection for a taxable year beginning after December 31, 2017, but before January 1, 2019; and 100% of the amount of income that is eligible under paragraph (1) of this subsection for a taxable year beginning after December 31, 2018.” (“Senate Bill 322,” Maryland General Assembly 1.20/17)
2017 Was The Second Time In Three Years In Which Governor Hogan Pushed For The Hometown Heroes Act. (“Senate Bill 594,” Maryland General Assembly, 11/20/15; “Senate Bill 322,” Maryland General Assembly, 2/23/17)
Governor Hogan’s Proposed 2017 Hometown Heroes Act Has Not Been Brought For An Up Or Down Vote.Senate Bill 322,” Maryland General Assembly, 2/23/17)

Hometown Heroes Legislation Was Introduced In 2006 By Delegate Hixson. “At a cost of $4.8 million, the bill exempts police and firefighters' first $7,500 in pension income from taxes. Veterans 55 and older would qualify for a deduction of up to $10,000, and income exceeding $100,000 for a married couple wouldn't apply to the calculation. The total cost is about $16.2 million… 'We think hometown heroes are the first line of defense, and frankly their retirements don't come to a percentage of what the military gets,’ Mrs. Hixson said.” (David Abrams, “Veterans’ Tax Cut Splits Legislators,” The Capital, 3/23/06)

Similar Legislation Sponsored By Delegate Hixson, Offering Tax Relief To First Responders And Emergency Personnel Received Unanimous Support In Both Chambers Of The General Assembly

Legislation Sponsored By Delegate Hixson Was Adopted By Both Chambers Of The General Assembly Will Provide Tax Relief To First Responders And Emergency Response Personnel; The First $15,000 Of Retirement Income For First Responders And Emergency Personnel At Least 55 Years Old Will Not Be Subject To State Tax.“In the case of a retired law enforcement officer or fire, rescue, or emergency services personnel of the united States, the State or a political subdivision of the State, the amount included under subsection (b) (1) of this section is limited to the first $15,000 of retirement income attributable to the resident’s employment as a law enforcement officer or fire, rescue, or emergency services personnel of the united States, the State, or a political subdivision of the State: unless the resident is at least 65 years old or is totally disabled; or the resident’s spouse is totally disabled.” (“House Bill 100,” Maryland General Assembly, 2/21/17)

Important Tax Relief Legislation Received Unanimous Support In Both Chambers Of The Maryland General Assembly

The Maryland State Senate Unanimously Approved The Legislation By A Vote Of 47-0. (“House Bill 100,” Maryland General Assembly, 4/4/17)

The Maryland House Of Delegates Unanimously Approved The Legislation By A Vote Of 138-0. (“House Bill 100,”Maryland General Assembly, 4/4/17)