All trade-ins now eligible for tax credit in Maryland
As of October 1, all vehicle trade-ins in Maryland are eligible for tax credit on the purchase of a new vehicle if it is part of the same transaction. Previously, the Motor Vehicle Administration did not apply tax credit when the trade was a lease and the new car was a purchase, or when both cars were a lease, but the new car was with a different leasing company.
Vehicles titled in another state are also eligible for the tax credit, as are vehicles owned by a relative of the owner of the car being purchased. A relative means a spouse, son, daughter, grandchild, parent, sister, brother, grandparent, father-in-law, mother-in-law, son-in-law or daughter-in-law.Download Bulletin PDF