Through extended payment schedules with no interest or penalties, Maryland’s new Fresh Start Tax Payments Program will enable qualified persons who have served time in prison or are currently incarcerated to pay off their state tax burden.
According to the press release: To help eligible returning citizens and those who are jailed pay their taxes, the Office of the Comptroller is initiating the Fresh Start Tax Payments Program in Maryland.Through the passage of House Bill 635, sponsored by Representatives Bernice Mireku-North (District 14, Montgomery County) and Greg Wims (District 39, Montgomery County), and Senate Bill 295, sponsored by Senator Cory McCray (District 45, Baltimore City), the program establishes a specialized tax resolution program for eligible Marylanders who have been involved in the justice system.Similar programs that provide eligible taxpayers alternative payment options are currently administered by the Office of the Comptroller, such as the provide-in-Compromise program and others.
During the 2025 legislative session, Comptroller Brooke E. Lierman provided testimony in favor of the legislation establishing the program.In her testimony, she underlined the significance of enhancing Maryland’s current tax structure, applying the tax code fairly, and allocating agency resources in ways that benefit individuals and families in order to better serve Marylanders from all backgrounds.
My goal is to provide all Marylanders with access to economic opportunities.According to Comptroller Lierman, this program is an extra tool to help people who are making their societal obligations but are burdened with needless tax debt that penalizes them long after their sentence.They will be able to restore their lives and take advantage of a more stable economy in the future.
Qualified justice-involved individuals will be eligible to pay their outstanding income taxes over a ten-year period as part of a payment plan through the Fresh Start Tax Payments Program. For those that pay according to their arrangement, the agency will forgo interest and penalties.
Just because they were incarcerated, justice-involved people shouldn’t be burdened with tax debt. According to Senator McCray, Senate Bill 295 gives returning citizens a genuine chance to start over by paving the way for reconciliation rather than punishment.After being made aware of the problem by Dr. Carmen Johnson, I am glad to have supported this legislation. We transformed a daring concept into actual policy under the direction of Comptroller Lierman and the CASH Campaign. This is what it looks like to be a humane and financially responsible leader.
The bill’s House backers were also enthusiastic about the potential this program will open up for the state and returning citizens.
For those working in the legal system, this tax reconciliation initiative is revolutionary. Reentry barriers are eliminated and avenues for justice-involved individuals to further contribute to our Maryland economy are created by permitting tax payment plans and removing interest and penalties for qualified individuals.Mireku-Northshared was delegated.
I have no doubt that this law will alleviate financial strains and facilitate the reintegration of prisoners who have completed their sentences into society.DelegateWimsadded.
In order to reach as many eligible individuals as possible, the Office of the Comptroller intends to work in conjunction with the Maryland Judiciary, the Department of Public Safety and Correctional Services, and other organizations and agencies, including the CASH Campaign.
We provide formerly jailed people with a vital chance for economic advancement by reducing their tax debt. The CEO of CASH Campaign of Maryland, Robin McKinney, stated that this action not only relieves the weight of crippling debt but also gives people the ability to start over, look for steady work, and give back to their communities. Eliminating tax debt is a crucial step in ensuring that everyone, regardless of background, has the opportunity to achieve economic mobility.
Together with nine committed interns, Helping Ourselves to Transform is honored to have helped design the Maryland Fair Taxation for Justice-Involved Individuals Act. According to Carmen Johnson, founder of Helping Ourselves Transform, an organization dedicated to social justice and civic engagement, too many returning citizens are burdened with unmanageable financial obligations as a result of antiquated tax laws.This law is a vital step toward long-overdue relief and economic justice. The fact that the Maryland Comptroller acknowledged its importance right away was quite encouraging.We hope that Maryland’s audacious and creative action encourages the rest of the nation to do the same.
