A home in Montgomery County, Maryland.
MONTGOMERY COUNTY, Md. - Neighbors and leaders across Montgomery County are expressing outrage over the county council’s decision to eliminate the Income Tax Offset Credit for the current year, a move that increases property tax bills for every homeowner.
What we know:
The decision ends a $692 credit that was previously available to all property owners, regardless of income level.
The end of the credit, along with rising year-over-year tax bills, prompted residents to express frustration amid a struggle to keep up with the increasing cost of living.
What they're saying:
The council’s decision has drawn criticism not only from taxpayers but also from fellow Democrats, including Montgomery County Executive Marc Elrich.
Elrich disclaimed the council's approach and rejected claims that the move did not amount to a tax hike.
"First thing they said they weren't doing a tax increase, which is totally bogus. I mean it was effectively a tax increase," Elrich said. "They voted to take it away from everybody. They voted to take it away whether you're in a $200,000 condominium, [or] whether you're a billionaire. So I didn't think it was a good approach to this, but it's what the council did."
Elrich added that statutory limitations present a challenge, noting, "Look, this is not the right way to do this... we are in Maryland where it all has to be the same, and I've been trying to get it changed."
For county residents on fixed incomes, the compounded increase is creating significant financial strain.
Brigitta Mullican, a senior resident and active local Republican, reported that her overall tax bill surged by $2,336 this year. Although she owns her home outright, rising expenses are eating into funds she is trying to set aside for future care.
"It's not like I can't afford it at this point in time in my life. It just means that's less money than I have," Mullican said. "I'm still trying to save money so I can afford to go into an assisted living place, you know, when I can't keep up this house myself."
Mullican also expressed frustration over how local tax dollars are being allocated by the all-Democratic council.
"You're taking away more money for a house that I own and you're taking my property tax and spending it on stuff that I don't agree on," she said. "I want some conservatives on that council because they have just all agreed on just raising the taxes."
Dig deeper:
The elimination of the tax credit comes as the Montgomery County Council works to bridge a massive $150 million budget shortfall.
The fiscal strain is already being felt across major county services. Montgomery County Public Schools (MCPS), which consumes the largest portion of the county budget, eliminated over 400 positions this year.
The elimination of the Income Tax Offset Credit is currently set for this year only, leaving open the possibility that the council could restore it in future budgets. However, neighbors remain wary as housing costs continue to climb.
The Source: This information is from FOX 5 DC reporting.