(a) (1) In this section the following words have the meanings indicated. (2) "Advisory Workgroup" has the meaning stated in § 31-201 of the Insurance Article. (3) "Affordable Care Act" has the meaning stated in § 1-101 of the Insurance Article. (4) "Exchange" has the meaning stated in § 31-101 of the Insurance Article. (5) "Insurance affordability program" has the meaning stated in § 31-201 of the Insurance Article. (6) "Insurance-relevant information" means information about an uninsured individual that is needed for the Exchange to: (i) identify the uninsured individual, including when matching data available from third-party data sources; (ii) facilitate the determination of the uninsured individual's eligibility for an insurance affordability program; or (iii) facilitate enrollment by the uninsured individual in a plan with minimum essential coverage. (7) "Minimum essential coverage" has the meaning stated in § 31- 101 of the Insurance Article. (8) "Premium tax credits" means the tax credits described in § 36B of the Internal Revenue Code. (9) "Program" means the Maryland Easy Enrollment Health Insurance Program established under § 31-202 of the Insurance Article. (10) "Qualified health plan" means a health benefit plan that has been certified by the Exchange to meet the criteria for certification described in § 1311(c) of the Affordable Care Act and § 31-115 of the Insurance Article. (11) "Uninsured individual" has the meaning stated in § 31-201 of the Insurance Article. (b) (1) The Comptroller shall include on the individual income tax return form a checkoff for indicating whether the individual, or each spouse in the case of a joint return, and any individual claimed as a dependent on the tax return is an uninsured individual at the time the tax return is filed. (2) If a State income tax return indicates that an individual is an uninsured individual at the time the tax return is filed, the tax return shall be required to include the following information as to each uninsured individual: (i) the age of each uninsured individual; (ii) election by the individual filing the tax return of one of the two checkoff boxes described in subsection (c) of this section; and (iii) if the individual who files a tax return chooses the checkoff box described in subsection (c)(3) of this section, any information determined by the Exchange as essential to determining eligibility for insurance affordability programs, if the information: 1. is not available from a reliable third-party data source; 2. is not otherwise required to be provided on the return; and 3. does not pertain to citizenship or immigration status. (3) For an individual who files a tax return and chooses the checkoff box described in subsection (c)(3) of this section, the return shall give the individual who filed the tax return the option to indicate the uninsured individual's preferred method for the Exchange to contact the individual who filed the tax return or the uninsured individual to facilitate either determination of eligibility for insurance affordability programs or enrollment in health coverage. (c) (1) In accordance with this subsection, the Comptroller shall include with the income tax return form a separate form that is required only for individuals who file a tax return indicating that an individual is an uninsured individual at the time the tax return is filed. (2) The separate form shall include two checkoff boxes as described in paragraphs (3) and (4) of this subsection and the information described in subsection (b)(2) and (3) of this section. (3) One checkoff box shall give an individual who files a tax return the choice to have the Exchange: (i) based on information in the individual's tax return, determine the uninsured individual's eligibility for insurance affordability programs; and (ii) obtain additional data that may be relevant to determine the uninsured individual's eligibility for insurance affordability programs. (4) One checkoff box shall allow an individual who files a tax return the choice to not have the Exchange make the determination described in paragraph (3) of this subsection. (5) The Comptroller, in consultation with the Exchange and with the advice of the Advisory Workgroup, shall: (i) develop language for the checkoff boxes described in paragraphs (3) and (4) of this subsection; (ii) develop language for the instructions for the State income tax return that includes a description of the effects of choosing the checkoff boxes described in paragraphs (3) and (4) of this subsection, including the purposes for which the information disclosed under this section may be used; and (iii) ensure that the language developed under item (i) of this paragraph is as simple, clear, and easy to understand as possible. (6) If an individual who files a tax return makes the election described in paragraph (3) of this subsection, notwithstanding the prohibition under § 13-202 of this article, the Comptroller shall convey to the Exchange all insurance- relevant information contained on the return. (d) (1) Except as provided in paragraph (2) of this subsection, this section shall apply to returns filed for taxable years beginning after December 31, 2018. (2) If the Comptroller determines, after consultation with the Exchange, that the implementation of this section is not administratively feasible for taxable years beginning after December 31, 2018, the Comptroller may delay implementation of this section to taxable years beginning after December 31, 2019. §2-116. IN EFFECT // EFFECTIVE UNTIL DECEMBER 31, 2030 PER CHAPTERS 110 AND 111 OF 2022 // (a) In this section, "Program" means the Maryland Earned Income Tax Credit Assistance Program for Low-Income Families. (b) (1) There is a Maryland Earned Income Tax Credit Assistance Program for Low-Income Families. (2) The purpose of the Program is to: (i) identify residents who are eligible to claim the credit under § 10-704 of this article but have failed to claim the credit; and (ii) provide residents identified under item (i) of this paragraph with a streamlined mechanism to claim the credit under § 10-704 of this article. (3) The Comptroller shall administer the Program. (c) (1) This subsection applies to a taxable year beginning after December 31, 2024. (2) Subject to subsection (d) of this section, the Comptroller shall provide, as part of the Program, a form to claim the credit under § 10-704 of this article to any resident: (i) for whom the Comptroller has received federal income tax return information for a taxable year described in § 13-1104(c)(1) of this article; (ii) whose wages were reported by the resident's employer to the Comptroller for that taxable year; (iii) who the Comptroller determines, based on all available data, may be eligible to claim the credit under § 10-704 of this article for that taxable year; (iv) who failed to claim the credit under § 10-704 of this article for that taxable year; and (v) who is authorized to request a refund under § 13-1104(c)(1) of this article. (3) The Comptroller shall provide the form required under this subsection no later than 45 days before the expiration of the statute of limitations for claiming a refund under § 13-1104(c)(1) of this article. (d) In processing the form to claim the credit under § 10-704 of this article, the Comptroller shall calculate the credit as though the resident elected to use the standard deduction under § 10-217 of this article to compute Maryland taxable income. (e) (1) The Comptroller shall notify each resident identified under subsection (c)(2) of this section that the Program is a method of claiming the credit under § 10-704 of this article available to eligible residents. (2) The notification required under paragraph (1) of this subsection shall include: (i) a description of the Program; (ii) an explanation of the resident's eligibility for participation in the Program; (iii) an explanation that the resident's participation in the Program is optional but subject to the limitation under subsection (d) of this section; (iv) an explanation that, notwithstanding the provisions of this section, the resident's participation in the Program is subject to the provisions of this article relating to the filing of a tax return; (v) the time by which the form must be completed and returned in order to claim the credit under § 10-704 of this article; and (vi) a statement that the resident may be eligible for, in a succeeding taxable year: 1. the federal earned income credit under § 32 of the Internal Revenue Code; and 2. the credit under § 10-704 of this article. (f) On request by a resident, a tax collector shall waive any penalties or interest on any assessment of tax due on the form provided to the resident under subsection (c)(2) of this section unless the tax collector reasonably believes the resident knew or should have known the tax was miscalculated. (g) On or before December 31, 2025, and each December 31 thereafter through December 31, 2030, the Comptroller shall report to the Governor and, in accordance with § 2-1257 of the State Government Article, the General Assembly on: (1) the effectiveness of the Program in meeting the purpose specified in subsection (b)(2) of this section and recommendations for potential statutory or administrative changes to enhance participation in the Program; (2) the number of claim forms provided to residents during the previous fiscal year; (3) the number of claim forms filed by residents during the previous fiscal year; (4) the number of refundable credits provided to residents during the previous fiscal year; and (5) the total amount of refundable credits provided to residents during the previous fiscal year. (h) The Comptroller shall adopt regulations to carry out this section. §2-116.1. IN EFFECT // EFFECTIVE UNTIL DECEMBER 31, 2030 PER CHAPTERS 725 AND 726 OF 2024 // (a) (1) In this section the following words have the meanings indicated. (2) "Awareness campaign" means the individual income tax credit eligibility awareness campaign. (3) (i) "Individual income tax credit" means an income tax credit established under Title 10, Subtitle 7 of this article that may be claimed by an individual taxpayer. (ii) "Individual income tax credit" does not include an income tax credit established under Title 10, Subtitle 7 of this article that may be claimed by a business entity or for business purposes. (b) (1) Subject to paragraph (2) of this subsection, the Comptroller shall implement and administer an individual income tax credit eligibility awareness campaign to: (i) identify underserved individuals who: 1. may be eligible to claim an individual income tax credit for a taxable year beginning after December 31, 2022, but before January 1, 2030, but do not claim the individual income tax credit during that same taxable year; or 2. can be identified through any other means as being eligible to claim an individual income tax credit but have failed to claim the credit; and (ii) encourage individuals identified under item (i) of this paragraph to apply for individual income tax credits. (2) The Comptroller may decide which individual income tax credits and underserved populations to include in the awareness campaign. (c) (1) Subject to paragraph (2) of this subsection, in administering the awareness campaign, the Comptroller: (i) to assist in identifying individuals under subsection (b) of this section, may partner with other State agencies by entering into data sharing agreements that comply with proper data use standards that ensure an individual's information remains secure; and (ii) shall for each taxable year: 1. utilize any information: A. provided to the Comptroller by other State agencies under item (i) of this paragraph; or B. obtained through any other means; and 2. contact and inform each individual identified under subsection (b) of this section that the individual may be eligible to claim an individual income tax credit and how to apply for the credit. (2) For a data sharing agreement entered into in accordance with paragraph (1)(i) of this subsection: (i) information may not be disclosed if the disclosure is prohibited by federal law; and (ii) the Comptroller may not use any information disclosed for a purpose other than identifying individuals who may be eligible to claim an individual income tax credit. (d) For each of fiscal years 2026 through 2030, the Governor shall include in the annual budget bill an appropriation of $300,000 to the awareness campaign. (e) On or before December 1, 2026, and each December 1 every 2 years thereafter, the Comptroller shall report to the General Assembly, in accordance with § 2-1257 of the State Government Article, on the implementation and administration of the awareness campaign and its effect on the number of individuals who have claimed individual income tax credits.
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