Does Maryland offer a tax break for long-term care insurance?

If you purchase a long-term care insurance contract for yourself or certain members of your family, you may be eligible for a one-time credit of up to $500 for each insured. To qualify for the credit, the insured must be all of the following:

• A spouse, parent, stepparent, child or stepchild.
• A Maryland resident;
• Not covered by long-term care insurance before July 1, 2000.
• Not have the credit for the insured being claimed by another taxpayer.
• Not have the credit claimed by anyone in any other tax year.

For tax year 2010, you can claim a credit equal to the premiums paid, up to a maximum of $330 for each insured person 40 years of age or younger, and up to a maximum of $500 for each insured person 41 or older.

For more information, see Long-Term Care Insurance Credit.