SB 356 creates a new refundable Maryland income tax credit for a parent of a stillborn child. The credit is set at $1,000 for each qualifying birth, and it applies only in the taxable year in which the stillbirth occurred. To qualify, the parent must have a certificate of birth resulting in stillbirth issued under Maryland law, or an equivalent certificate of fetal death issued by another state.
The bill also allows the credit to be refundable, meaning that if the credit exceeds the parent’s State income tax liability for that year, the excess may be claimed as a refund. The measure is scheduled to take effect July 1, 2026, and applies to taxable years beginning after December 31, 2026. In practical terms, it adds a new provision to the Tax-General Article and creates a specific tax benefit tied to a deeply personal and traumatic family loss.
Impact
SB 356 amends the Maryland Tax-General Article by adding a new Section 10-758 establishing a refundable State income tax credit for parents of stillborn children. It affects individual income taxpayers who experience a stillbirth and have the required certificate documentation, and it may reduce State revenue by allowing qualifying taxpayers to offset tax liability or receive refunds. The bill also cross-references Maryland’s vital records law governing certificates of birth resulting in stillbirth and recognizes equivalent out-of-state documentation.
Sentiment
The bill appears to have broad legislative support and was passed on third reading by a strong 40-1 vote in the Senate. The available record shows no committee transcript debate, but the favorable committee report and overwhelming floor vote suggest the measure was viewed positively as a compassionate tax relief provision. The near-unanimous support indicates general agreement on providing financial recognition and assistance to affected parents.
Contention
There is little visible contention in the available materials. The only recorded opposition was a single negative vote on third reading, and no committee discussion is provided to identify specific objections. Any potential concerns would likely center on the fiscal impact of a refundable credit and the policy choice to use the tax code to address a bereavement-related circumstance, but no such arguments are documented in the supplied record.