MD SB607

Phases in an increase to the Maryland income tax subtraction for public safety employee retirement income from $15,000 to $20,000 over five years, with $1,000 annual increases beginning in tax year 2026

Eligible recipients include retired correctional officers, law enforcement officers, and fire, rescue, or emergency services personnel (EMTs and paramedics) from federal, state, or local government service

Recipients must be at least 55 years old on the last day of the taxable year to claim the subtraction

Phase-in schedule: $15,000 (2025), $16,000 (2026), $17,000 (2027), $18,000 (2028), $19,000 (2029), $20,000 (2030 and thereafter)

Takes effect July 1, 2026