Impact Tax is the tax set by the Montgomery County Council, assessed on new residential and commercial buildings and additions to commercial buildings in the County. The tax is used to fund the improvements necessary to increase the transportation or public school systems capacity, thereby allowing development to proceed. Impact taxes can be paid at the time of permit issuance or for Residential properties, payment can be delayed for six (6) months, or by the final inspection, whichever comes first. Commercial properties payment can be made at the time of permit issuance or the payment can be delayed for one (1) year or by the final inspection, whichever comes first. For further information, please click on the link below.