As 2022 is over, the City of Frederick Planning Department has a reminder for tax-paying owners of designated historic properties in the city:
Gather receipts and invoices for all exterior preservation and rehabilitation work completed in 2022 to apply for the city’s Historic Preservation Property Tax Credit. Eligible properties include all those in the Historic Preservation Overlay Zone, which includes the Frederick Town Historic District, as well as individually designated landmarks.
The deadline for tax credit applications is April 1. All credits will be applied to property tax bills mailed by the county in July.
The City’s Historic Preservation Property Tax Credit is intended to offset the additional costs of maintaining a designated historic property in accordance with adopted design guidelines.
The credit is equal to 25 percent of properly documented expenses incurred for exterior work that contributes to restoring or preserving a designated structure.
This includes, but is not limited to, repointing; window and door repair; exterior painting; replicate deteriorated or missing historic trim or ornaments; roof repairs or replacement with historically appropriate or traditional materials; and the installation of storm doors and windows.
The application process is simple and there is no fee. Before and after photos are required, along with proof of payment, receipts or invoices marked as paid, and other documentation as described in the application forms.
Planning staff will initially review tax credit applications and verify that all required documentation is submitted.
Expenditures will be certified by the HPC based on staff recommendation and forwarded for final review to the Finance Director, who will notify the Frederick County Treasurer of the credit amounts to be applied to property tax bills.
If you own property designated in the Historic Preservation Overlay in the City of Frederick, don’t delay in submitting your property tax credit application. Contact [email protected] or 301-600-6278 with questions.
The Maryland Historic Trust, City of Frederick Planning Department, and Frederick County Division of Planning and Permitting invite the public to a Historic Preservation Tax Credit Workshop on January 25 at 7 pm in the Annex from the City Office at 140 W. Patrick St. to learn about rehabilitation programs for historic properties.
By providing 20% tax credits for qualified rehabilitation projects, the Maryland Historic Revitalization Tax Credit Program encourages the preservation and rehabilitation of historic properties throughout Maryland. These tax credits are available for both owner-occupied residences and commercial properties, but all projects must be reviewed and approved by the Maryland Historical Trust (MHT) before any work is undertaken to be eligible.
The state tax credit may be used in conjunction with local historical tax credits, but the MHT review is separate from the local review and local approval cannot be waived or substituted for it.
The Frederick County Historic Tax Credit is used to offset property tax due to increases in assessed value that would result from restoration work performed on a qualifying historic property, as determined by the State Department of Assessments and Taxation.
There will be a 100% credit on the increase in the real property appraisal in the first two taxable years. It is phased in over the remaining three years, for a total of five years.
People who require special accommodations should call 301-600-1499 five days before the meeting to make arrangements.