MD HB1595

Baltimore City and Maryland county governments may establish a subclass of personal property specifically for qualified data centers and set a special personal property tax rate for this subclass

Qualified data centers in Tier I areas must invest at least $2,000,000 in qualified data center personal property and create at least 5 qualified positions within 3 years of applying

Qualified data centers in other areas of the state must invest at least $5,000,000 in qualified data center personal property and create at least 5 qualified positions within 3 years

Both co-located/hosting data centers (leasing to multiple customers) and enterprise data centers (owned and operated by the company they support) qualify for this special tax classification

Takes effect June 1, 2026, applicable to taxable years beginning after June 30, 2026