There's good news for Maryland residents who have incurred at least $20,000 in undergraduate and/or graduate student loan debt: you may be eligible for a Maryland tax credit.
To be eligible for the Student Loan Debt Relief Tax Credit, you must:
The credit can be worth up to $5,000, but most people receive about $1,000. With that money saved on your Maryland taxes, you must use the credited amount to pay down your student loan debts in either a one-time payment or through monthly payments during the two year period after the credit has been awarded.
To apply, you must submit an application to the Maryland Higher Education Commission by September 15, 2021. Note that you must include a copy of your undergraduate and/or graduate transcripts for the loan years in which you incurred the debts.
To apply online, click here and look for the blue "Apply Online" button.
To download a copy of the application, click here.
There's a list of frequently asked questions here. Contact us online or call 800.899.4623.
Published on July 27, 2021