Community Investment Tax Credits Program Grant

Community Investment Tax Credits Program Grant

Status: ACTIVE
Funder: Maryland Department of Housing and Community Development
Last Updated: June 19, 2025

Summary

The Community Investment Tax Credits Program, administered by the Maryland Department of Housing and Community Development, empowers 501(c)(3) nonprofit organizations by providing state tax credits that incentivize donations for local projects. This program has facilitated nearly $27 million in contributions, supporting around 700 community initiatives. Eligible nonprofits can apply for these credits, which significantly enhance funding opportunities for various community services, including education, housing, and economic development.

Overview

Community Investment Tax Credits support 501(c)(3) nonprofit organizations by awarding allocations of State tax credits for use as incentives to attract contributions from individuals and businesses to benefit local projects and services. Community Investment Tax Credits complement other State funding programs which offer resources to assist communities with revitalization efforts. As part of an annual, competitive application process, 501(c)(3) nonprofit organizations apply to the Maryland Department of Housing and Community Development for tax credit allocations. The Community Investment Tax Credit program has leveraged nearly $27 million in charitable contributions to approximately 700 projects across the State. Businesses and individuals that donate $500 or more to a qualified organization’s approved project(s) can earn tax credits equal to 50% of the value of the money, goods or real property contribution. These tax credits are in addition to the deductions on both Federal and State taxes as a result of the charitable contribution.  Visit GIVE Maryland for information on specific projects and donate now to nonprofits that have available tax c​redits. Individuals and businesses must use the tax credits against taxes owed for the year in which the contribution was made and may not be used retroactively for taxes from a prior year. An​y individual or business contemplating making a donation is encouraged to consult with their accountant or tax professional for information about their specific tax benefits. Projects typically involve activities such as: Education and Youth ServicesHousing and Community DevelopmentJob and Self-Sufficiency TrainingEnhancing Neighborhoods and Business DistrictsArts, Culture and Historic PreservationEconomic Development and Tourism PromotionTechnical Assistance and Capacity BuildingServices for At-Risk Populations Additional consideration will be given to initiatives that address the overarching priorities of the Moore-Miller Administration, including ensuring that all those who want to live in Maryland can do so. In addition, priority consideration will be given to those projects and places that reflect the core objectives of MD DHCD (listed below), including to create great, lovable places and to right the wrongs of the past. Great places – lovable places– result from consistent targeted investment in locally-driven and inclusive community reinvestment plans. Investments in designated Engaging Neighborhoods, Organizations, Unions, Governments and Households (ENOUGH) areas, addressing the community conditions surrounding children in poverty, enriching community assets and services for youth.Investments in designated Just Communities, transforming neighborhoods into thriving communities where all Marylanders, regardless of background, have access to fair housing, and economic stability and opportunity, righting the wrongs of the past.Increased housing production, including mixed-income, middle market and affordable housing.Increased household and generational wealth building, such as through homeownership, legacy homeowner renovations, and small business development.Accelerated elimination of vacant properties, particularly in Baltimore City.

Eligibility

You can learn more about this opportunity by visiting the funder's website. Who can apply:YNonprofit organizations, designated a 501(c)(3) organization by the Internal Revenue Service, are eligible to apply for Community Investment Tax Credits to support a project or activity that is either located in or serving a community in a Priority Funding Area.Organizations soliciting charitable contributions in Maryland are generally required to register with the Office of the Secretary of State as a charitable organization. Nonprofits must maintain their charitable registration status with the Office of the Secretary of State of Maryland. As well as, provide an official Certificate of Status from the Maryland Department of Assessment and Taxation.Once awarded tax credits, nonprofit organizations are required to submit a Semi-Annual Report in January and July providing information on:Project activity/statusUse of tax credits/contributions receivedHow the organization is marketing their project and the availability of tax creditsAfter the initial tax credit award has been made, an organization may make a request for an additional allocation of tax credits no more than twice during the time period of their award agreement. The Community Investment Tax Credits program reviews requests for additional allocations in February and August of each calendar year. Projects must be located in or serve residents of a Priority Funding Area​.