You may file this application online at onestop.md. A homestead exemption can benefit homeowners if one spouse in a twoincome household dies.The program provides tax credits for homeowners who qualify on the basis of their household income as compared to their tax bill. Maryland requires all homeowners to submit a onetime application to establish eligibility for the Homestead Tax Credit. The exemption includes land attached to the primary dwelling place. The exemption excludes prior liens. Obtain an application for exemption from the State Department of Assessments and Taxation (SDAT) and file it with that agency. Applying for a homestead exemption differs depending on the state. In some states, the homestead exemptions are automatic. If MD isn't your homestead, then the homestead credit doesn't apply.