Maryland Biotechnology Investment Incentive Tax Credit (BIITC)
Maryland Department of Commerce
33%–75% of investor's investment
MD tax credit for investors in local biotech startups
Maryland's BIITC gives investors a refundable state income tax credit of 33%–75% of their investment in a Qualified Maryland Biotechnology Company (QMBC) — a pre-revenue or early-stage biotech firm with under 50 employees, ≤12 years operating history, and Maryland headquarters. The credit is refundable (investors with no MD tax liability receive cash). QMBCs apply to be certified; investors then claim the credit by April 30 each year.
- Funding type
- Tax Credit
- Level
- State
- Amount range
- $750,000
- Realistic amount
- Most investors in MD biotech startups receive credits of $25,000–$250,000 per investment (33% × $75K–$750K invested). Th…
- Deadline
- QMBC (company) application: March 31 annually. Investor application: April 30 annually. FY2026 applications closed.
- Status
- between-intakes
- States
- MD
- Payment model
- tax offset
Who qualifies
- COMPANY (QMBC) eligibility: Headquartered and base of operations in Maryland
- COMPANY: Fewer than 50 full-time employees
- COMPANY: In active business no longer than 12 years
- COMPANY: Must own or have exclusive rights to biotechnology-related IP
- COMPANY: At least one full-time non-executive employee engaged in qualified biotech R&D in Maryland
- COMPANY: Must be certified by MD Commerce as a QMBC before investors can claim credits
- INVESTOR eligibility: Must invest at least $25,000 per company
- INVESTOR: Total qualified investments in a single QMBC must not exceed $7M in prior BIITC credits
Hard requirements
- Must be incorporated
- Location restriction: Maryland — headquarters and base of operations
- Restricted to industry: Biotechnology
- Max 50 employees
What it covers
Eligible expenses
- Equity investments in certified QMBCs (stock, convertible notes, SAFEs)
- Minimum $25,000 per investor per QMBC
Ineligible expenses
- Loans or debt instruments (only equity investments qualify)
- Investments in non-certified companies (must be QMBC-certified by Commerce)
- Investments made before QMBC certification is issued
How to apply
-
1
Company: Apply for QMBC certification (Form B) by March 31
Early-stage biotech companies submit Form B to Maryland Commerce by March 31 to be certified as a Qualified Maryland Biotechnology Company. Provide proof of IP ownership, employee R&D activity, employee count, and years in operation.
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2
Company: Attract qualified investors after QMBC certification
Once certified, the company can market BIITC as an investor incentive. Investors receive a 33%–75% state income tax credit on their investment — effectively reducing their net cost of capital.
-
3
Investor: Apply for credit certificate (Form A) by April 30
Qualified investors submit Form A to Maryland Commerce by April 30, including evidence of investment in a certified QMBC. MD Commerce issues credit certificates on a first-come, first-served basis until annual program cap is reached.
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4
Investor: Claim credit on MD income tax return
Investor claims the credit on their Maryland income tax return using the credit certificate. If no MD tax liability, the credit is refundable (investor receives the excess as a cash refund from MD).
Companies get certified FIRST (Form B by March 31), then investors apply by April 30. The refundable credit means even investors with low MD tax liability collect cash from the state.
Deadline & timing
FY2026 QMBC deadline was March 31, 2026; investor deadline April 30, 2026. FY2027 cycle expected to open late 2026. Dates set annually by MD Commerce.
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Last reviewed 2026. GrantCompass is an independent funding-discovery tool and is not affiliated with any government agency. Always confirm details on the official program page.