Land Value Tax Legality Atlas: Maryland

Last Researched: 03/14/2025

Is Land Value Tax Legal in Maryland?

Yes, land value taxation is legal in Maryland, but with specific limitations.

Constitutional Provisions

Maryland's Constitution initially presented obstacles to LVT. In 1898, the Maryland Court of Appeals ruled that the use of land value taxation in Hyattsville was unconstitutional under the state's uniformity requirements.

However, this was addressed through an amendment to the Maryland Declaration of Rights (Article 15) that specifically allows for land value taxation where authorized by the state legislature.

Current Legal Framework

In Maryland, municipal corporations have the right to implement land value taxation, but counties (including Baltimore City, which is treated as a county for certain purposes) do not have this authority without specific enabling legislation.

The state has enabling legislation for towns that was passed in 1916, which remains in effect today. This legislation provides the legal framework for municipalities to implement split-rate taxation.

Key Provisions and Legal Resources


  • Article 15, Maryland State Constitution

    Allows the general assembly to authorize split-rate taxation.

    “The General Assembly shall, by uniform rules, provide for the separate assessment, classification and sub-classification of land, improvements on land and personal property, as it may deem proper.”

  • Md. Code, Tax-Prop. § 6-303

    Authorizes cities to implement split-rate taxes.

    “If not otherwise prohibited by this article, the governing body of a municipal corporation may set special rates for any class of property that is subject to the municipal corporation property tax.” 

  • Md. Code, Tax-Prop. § 6-302

    There is no authorization for Counties and Baltimore.

    “There shall be a single county property tax rate for all real property subject to county property tax except for operating real property described in § 8-109(c) of this article.” 

  • Attorney General Guidance in 1995

    “In summary, it is our opinion that municipalities already have the authority to establish reasonable classifications and to treat those classes differently for tax purposes.”


Historical Significance

Maryland has special historical significance in the LVT movement. The first city in the United States to enact land value taxation was Hyattsville, Maryland in 1898, through the efforts of Judge Jackson H. Ralston. After the courts initially ruled against this approach, Judge Ralston and his supporters successfully campaigned to amend the state Constitution.

Current Status

While legally permissible for municipalities, LVT can be implemented in cities but cannot be implemented in counties or the city of Baltimore. 

For more information about implementing LVT in Maryland, please contact greg@landeconomics.org.