Effective July 1, 2012

An Order of Ratification identifying a foreclosure on a property is required to be recorded in the County Clerk of the Court’s Office by a financial institution.  A copy of the Order of Ratification must now be sent to the assessment office. The attached receipt is required to be sent to the financial institutions for every Ratification Order received.

Beware if you are doing REO work in Maryland.  If the Order of Ratification is not filed with SDAT there exists a possibility of a lien being place on the property for recapturing Homestead Tax Credits:

The copy of the Ratification Order should be used to cancel any existing Homestead Credit granted on the subject property beginning with the July 1, 2012 tax year.  If an assessment office later discovers that a Ratification Order was not submitted to the Department, please notify the county tax office to place a lien on the property for the amounts of Homestead Tax Credit granted each year beginning with the July 1, 2012 tax year.