Maryland Tax Credits Provide $1 Billion in Household Relief

Eligible taxpayers in Maryland saw average refunds of $935 during the 2026 filing season thanks to state outreach.

Updated on Oct. 21, 2026 in Taxes

Isometric editorial illustration of a residential front door with a brass mailbox, representing state household tax relief.
Maryland residents claimed over $1 billion in total tax relief during the 2026 filing season, supported by a state-wide outreach campaign. AI Illustration. Upload story photo >

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Maryland residents secured more than $1 billion in total tax relief during the 2026 filing season through the state Earned Income Tax Credit (EITC). A total of 443,156 taxpayers utilized the program, marking an 8% increase in claims compared to the prior year.

Why it matters

The surge in participation follows a targeted outreach campaign funded by the General Assembly, aiming to close the gap for eligible households that historically missed out on these benefits. This credit provides essential liquidity by either direct refund or by lowering the overall tax burden for low- to moderate-income families.

Claimants received an average $935 refund and a $1,333 reduction in tax liability. In total, 443,156 Marylanders participated in the program, reflecting an 8% increase in claims over the previous year.

The players

Office of the Comptroller

The state agency responsible for tax collection and the administration of credit outreach programs for Maryland residents.

General Assembly

The state legislative body that authorizes and funds public tax credit outreach and relief programs.

Urban Institute

A research organization that provided analytical support to refine state messaging for tax credit eligibility.

New America

A public policy think tank that collaborated on analyzing tax credit uptake among eligible populations.

The details

The state's EarnedIt 2026 campaign utilized extensive outreach, including social media, direct mail, and text messaging to reach eligible residents. By partnering with 13 different government agencies, the program helped taxpayers navigate the filing process to access credits that reduce their annual state tax bill or return excess payments directly to their household budget.

Timeline

  1. 2024: The General Assembly passed legislation to fund the outreach campaign.

  2. 2026 filing season: Marylanders claimed EITC benefits.

  3. October 21, 2026: The Office of the Comptroller released the report.

Money Landscape

The 2026 filing season results follow the funding mandate established by 2024 House Bill 845 and Senate Bill 1105. This campaign represents a shift toward aggressive state-led outreach to ensure eligible households capture available tax credits within the existing tax policy framework.

Households eligible for the credit may see their annual state tax burden reduced by an average of $1,333. If you believe you qualified but did not claim the credit, consult a tax professional to determine if you are eligible to file an amended return for the 2026 season.

The takeaway

Maryland has seen a notable rise in tax credit claims following a concerted effort to contact eligible households. Families should review their prior year tax filings to ensure they are not leaving potential refunds on the table, as credit eligibility criteria can shift annually.

Further reading

For more information on state tax programs, visit Maryland Taxes.

Source note: This article includes information reported by SOUTHERN MARYLAND'S COUNTRY STATION, COUNTRY 102.9 WKIK.

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Do you believe state-led campaigns are an effective way to help residents claim tax credits?