# COMAR 24.05.20.10: COMAR 24.05.20.10. Recapture Provisions

> Maryland · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_10

## Section

- **Citation:** COMAR 24.05.20.10
- **Heading:** COMAR 24.05.20.10. Recapture Provisions
- **Jurisdiction:** Maryland
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Code of Maryland Regulations / Title 24 DEPARTMENT OF COMMERCE / Subtitle 05 ECONOMIC DEVELOPMENT / Chapter 20 Job Creation Tax Credit / COMAR 24.05.20.10

## Text

A. Except as provided in §D of this regulation , the tax credit shall be recaptured if, during any of the retention period following the credit year, the number of qualified positions of the qualified business entity falls more than 5 percent below the average number of qualified positions during the credit year on which the tax credit was computed.
B. A temporary vacancy in a qualified position does not constitute the abolition of that qualified position if:
(1) The vacancy is filled within 4 months; and
(2) Not more than 10 percent of the qualified positions at the business facility are vacant at any given time.
C. Except as provided in §D of this regulation , the tax credit shall be recaptured in its entirety if, during the retention period following the credit year, the average number of qualified positions falls below the applicable minimum threshold number of positions specified in Regulation .04C(1)(b) of this chapter .
D. If, during the retention period, for a period of time more than 5 percent of qualified positions are vacant due to a labor action or due to a fire, flood, or other cause beyond the control of the qualified business entity, instead of recapture of the tax credit, the retention period shall be extended by that period of time.
E. The tax credit shall be recaptured in the following manner:
(1) The tax credit shall be recomputed to reduce the tax credit by the percentage reduction of the number of qualified employees;
(2) The recomputed tax credit shall be subtracted from the amount of tax credit previously allowed; and
(3) The qualifying business entity shall pay the difference as taxes payable to the State for the taxable year in which the number of qualified positions falls more than 5 percent below the average number of qualified positions during the credit year.
Cross References 24.05.20.04B(15)

## Nearby sections

- [COMAR 24.05.20.01 COMAR 24.05.20.01. Objective](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_01.md)
- [COMAR 24.05.20.02 COMAR 24.05.20.02. Purpose](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_02.md)
- [COMAR 24.05.20.03 COMAR 24.05.20.03. Scope and Administration](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_03.md)
- [COMAR 24.05.20.04 COMAR 24.05.20.04. Definitions](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_04.md)
- [COMAR 24.05.20.05 COMAR 24.05.20.05. Notification Required](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_05.md)
- [COMAR 24.05.20.06 COMAR 24.05.20.06. Certification Procedures](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_06.md)
- [COMAR 24.05.20.07 COMAR 24.05.20.07. Eligible Business Activities](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_07.md)
- [COMAR 24.05.20.08 COMAR 24.05.20.08. Amount of Tax Credit](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_08.md)
- [COMAR 24.05.20.09 COMAR 24.05.20.09. Carryover of Tax Credit](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_09.md)
- [COMAR 24.05.20.10 COMAR 24.05.20.10. Recapture Provisions](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_10.md)
- [COMAR 24.05.20.11 COMAR 24.05.20.11. Information Required from Entity](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_11.md)
- [COMAR 24.05.20.12 COMAR 24.05.20.12. Confidentiality Protections for Business Entities](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_12.md)
- [COMAR 24.05.20.14 COMAR 24.05.20.14. Waiver](https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_14.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_MD_COMAR_24_05_20_10. Check the current official text before relying on it. Not legal advice.