How to Pay Maryland Taxes?

You can use the Maryland Tax Connect portal to make online business tax payments through direct debit from your bank account. This method is free and eliminates postage costs and the possibility of lost mail. You can also make payment by personal check, money order, or credit card. Please note that if you choose to make your payment via credit card, the company that processes the payment will collect a non-refundable service fee.

The Maryland State Tax Agency offers several options for taxpayers who are unable to pay their taxes in full, including an individual payment agreement and an Offer in Compromise. The latter option is often the most feasible for taxpayers, but it is important to work with a tax professional who can navigate you through your best Maryland state tax resolution options. Contact a CPA today to schedule a consultation if you need assistance with a Maryland state tax problem.

Maryland Tax Payment Methods

1. Online
2. Direct Debit Payment: Pay directly via the Comptroller of Maryland’s website from your bank account.
3. Credit/Debit Card: Pay using your credit or debit card online.
4. Mail
5. Send a check or money order with the appropriate payment voucher.
6. In Person
7. Payments can be made in person at local branch offices of the Comptroller of Maryland.
8. Phone
9. Pay by phone using a credit or debit card.

Steps to Pay Maryland Taxes Online

Visit the Maryland Comptroller Website: Maryland Comptroller

1. Select “Online Services”: Choose the appropriate payment option.
2. Log In or Create an Account: Follow the prompts to log in to your existing account or create a new one.
3. Choose “Make a Payment”: Select the tax type and period.
4. Select Payment Method: Choose between direct debit, credit card, or debit card.
5. Enter Payment Information: Provide necessary details and confirm the payment amount.
6. Submit Payment: Review and submit your payment

Maryland Taxes Due Dates

• Personal Income Tax: April 15 (If the 15th falls on a weekend or holiday, the due date is the next business day).
• Estimated Tax Payments: Quarterly on April 15, June 15, September 15, and January 15 of the following year.
• Corporate Income Tax: The 15th day of the fourth month after the close of the corporation’s taxable year (April 15 for calendar-year taxpayers).

Maryland Taxes and Taxation Laws

Maryland imposes several types of taxes, including personal income, corporate income, sales and use, property, and estate and inheritance taxes. Residents, as well as nonresidents with income from Maryland sources, must pay personal income tax. The state tax rates range from 2% to 5.75%, with additional local income taxes ranging from 2.25% to 3.20%.

Corporations operating in Maryland are subject to an 8.25% corporate income tax. Retail sales of tangible personal property and certain services are taxed at a 6% sales tax rate, while alcoholic beverages are taxed at 9%. Additionally, Maryland assesses a property tax on real estate based on its full cash value.

Maryland’s estate tax applies to the transfer of taxable estates, with an exemption threshold aligned with the federal estate tax. The inheritance tax, which varies based on the relationship to the deceased, applies to the receipt of property from a decedent.

Residents and nonresidents with Maryland-source income must file income tax returns. Corporations must file if they conduct business in Maryland. Employers must withhold Maryland income tax from wages, and individuals and corporations must make estimated tax payments if their liability exceeds $500.

Maryland offers various tax credits and deductions for individuals and businesses, such as the Earned Income Credit and Research and Development Tax Credit. The Comptroller of Maryland administers and enforces tax laws, conducts audits, and provides taxpayer assistance. Appeals and disputes can be addressed through the Maryland Tax Court.