Ch. 227 LAWS OF MARYLAND

(3) APPLICABLE LIMITATIONS; AND

(4) CONTACT INFORMATION FOR APPLICATION FORMS.

(E) THE DEPARTMENT SHALL NOTIFY AN APPLICANT IN WRITING
IF THE APPLICANT IS 'NOT ELIGIBLE FOR THE RESIDENTIAL USE
ASSESSMENT.

8-228.

(A) IF A PART OF ANY REZONED REAL PROPERTY IS SUBDIVIDED
BY A RECORDED PLAT, IS USED FOR A PURPOSE OTHER THAN A
RESIDENTIAL USE, OR IS TRANSFERRED TO SOMEONE OTHER THAN AN
IMMEDIATE FAMILY MEMBER OF THE OWNER, THE PROPERTY CEASES
TO BE REZONED REAL PROPERTY AND THE RESIDENTIAL USE
ASSESSMENT UNDER THIS SECTION AND §§ 8-226 AND 8-227 OF THIS
SUBTITLE SHALL TERMINATE AND THE DEPARTMENT SHALL VALUE
AND ASSESS THE PROPERTY IN ACCORDANCE WITH THE PROVISIONS OF
SUBTITLE 1 OF THIS TITLE.

(B) IF THE RESIDENTIAL USE ASSESSMENT IS TERMINATED UNDER
SUBSECTION (A) OF THIS SECTION, THE HOMEOWNER WHO PAID TAXES
BASED ON THE RESIDENTIAL USE ASSESSMENT SHALL PAY TO THE
DEPARTMENT A PENALTY AS CALCULATED IN SUBSECTION (C) OF THIS
SECTION.

(C) (1) THE PENALTY DUE IS CALCULATED BASED ON THE
DIFFERENCE BETWEEN THE ASSESSMENT OF THE PROPERTY BASED ON
ITS RESIDENTIAL USE AS REZONED REAL PROPERTY AND THE
ASSESSMENT REQUIRED UNDER SUBSECTION (A) OF THIS SECTION
MULTIPLIED BY THE SUM OF THE STATE, COUNTY, AND MUNICIPAL TAX
RATES FOR THE CURRENT TAX YEAR.

(2) THE TOTAL PENALTY DUE IS EQUAL TO THE AMOUNT
DETERMINED IN PARAGRAPH (1) OF THIS SUBSECTION MULTIPLIED BY
THE NUMBER OF YEARS, NOT EXCEEDING 3, FOR WHICH THE PROPERTY
OWNER HOMEOWNER RECEIVED A RESIDENTIAL USE ASSESSMENT
UNDER THIS SECTION AND §§ 8-226 AND 8-227 OF THIS SUBTITLE.

(3) ANNUAL INTEREST AT THE RATE OF 12% SHALL APPLY TO
THE PENALTY CALCULATED UNDER THIS SUBSECTION.

(D) THE PROCEEDS OF THE TAX PENALTY COLLECTED UNDER THIS
SECTION SHALL BE DISTRIBUTED TO THE STATE, COUNTY, AND
MUNICIPAL GOVERNMENTS IN THE PROPORTION THAT EACH TAX RATE
BEARS TO THE TOTAL OF THE STATE, COUNTY, AND MUNICIPAL TAX
RATES.

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