2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 6 - Economic Development Tax Incentives › Subtitle 3 - Job Creation Tax Credit › Section 6-304 - Amount and Application of Credit

(a)    (1)    A qualified business entity may claim a tax credit in the amount determined under this section.
(2)    The Department shall certify the amount of the tax credit for which a qualified business entity is eligible under this section.
(3)    The qualified business entity shall submit to the appropriate State units, with the tax return on which the credit is claimed, certification from the Department that the business entity has met the requirements of this subtitle and is eligible for the credit in the amount certified by the Department.
(b)    (1)    Except as provided in this section, the credit earned under this section by a qualified business entity under § 6–303(b)(1) of this subtitle:
(i)    for qualified employees who are not qualified veteran employees working in a facility not located in a revitalization area, is $3,000 multiplied by the number of those qualified employees employed by the qualified business entity during the credit year;
(ii)    for qualified employees who are not qualified veteran employees working in a facility located in a revitalization area, is $5,000 multiplied by the number of those qualified employees employed by the qualified business entity during the credit year;
(iii)    for qualified employees who are qualified veteran employees working in a facility not located in a revitalization area, is $4,000 multiplied by the number of qualified veteran employees employed by the qualified business entity during the credit year; and
(iv)    for qualified employees who are qualified veteran employees working in a facility located in a revitalization area, is $6,000 multiplied by the number of qualified veteran employees employed by the qualified business entity during the credit year.
(2)    (i)    Except as provided in this section and subject to subparagraph (ii) of this paragraph, the credit earned under this section by a small business under § 6–303(b)(2) of this subtitle is $2,500 multiplied by the number of qualified veteran employees employed by the small business during the credit year.
(ii)    A small business may not claim the credit under this section:
1.    for more than five qualified veteran employees in a credit year;
2.    for a qualified veteran employee who is hired to replace a laid–off employee or an employee who is on strike; or
3.    for a qualified veteran employee who has filled the position for less than 1 year.
(3)    The credit earned by a qualified business entity under this subtitle may not exceed $1,000,000 for any credit year.
(4)    The total amount of credits certified by the Department for qualified business entities in a taxable year may not exceed $4,000,000.
(c)    (1)    The same credit cannot be applied more than once against different taxes by the same taxpayer.
(2)    If the credit allowed under this subtitle exceeds the total tax otherwise due from a qualified business entity in a taxable year, the qualified business entity may apply the excess as a credit for succeeding taxable years until the earlier of:
(i)    the full amount of the excess is used; or
(ii)    the expiration of the 5th taxable year from the credit year.
(3)    The credit under this subtitle may not be carried back to a preceding taxable year.