Maryland Form MW507 Instructions

Get your Maryland state tax withholding right—this guide walks you line-by-line through Maryland Form MW507, explaining what it is, how to file it, and how to complete every section with clarity and confidence.

Maryland Form MW507, also known as the Employee’s Maryland Withholding Exemption Certificate, is a critical tax form used by employees in Maryland to inform their employer how much state income tax should be withheld from their paychecks. This form determines your state tax withholding based on your personal exemptions, additional withholdings, and specific circumstances such as residency, military status, or reciprocal agreements with neighboring states. Filing MW507 correctly ensures you don’t overpay or underpay Maryland state taxes throughout the year, helping you avoid surprises at tax time. The form is required for all new hires, and you should update it whenever your financial or personal situation changes, such as marriage, divorce, or having a child. MW507 is also essential for students, seasonal workers, and anyone claiming exemption from Maryland withholding due to low income or residency in certain states.

How to File Maryland Form MW507

Obtain the Form: Get MW507 from your employer, the Maryland Comptroller’s website, or the official PDF.
Complete the Form: Fill out every section accurately, following the instructions for each line below.
Submit to Employer: Return the completed form to your employer—not to the state tax office.
Update as Needed: Submit a new MW507 if your circumstances change (e.g., marital status, number of dependents).
Keep Records: Retain a copy for your personal records.

How to Complete Maryland Form MW507

Section 1: Personal Exemptions

Line 1:
Total number of exemptions you are claiming (not to exceed line f in the Personal Exemption Worksheet on page 2).

Enter the number of personal exemptions you’re eligible for. This is usually yourself, your spouse, and dependents, but do not exceed the number calculated on the worksheet.

Line 2:
Additional withholding per pay period under agreement with employer.

If you want extra Maryland tax withheld each pay period, enter the additional dollar amount here.

Line 3:
I claim exemption from withholding because I do not expect to owe Maryland tax. See instructions above and check boxes that apply.

a. Check if last year you did not owe any Maryland income tax and had a right to a full refund.
b. Check if this year you do not expect to owe any Maryland income tax and expect a full refund.
If both apply, enter the effective year and write “EXEMPT” on this line.

Line 4:
I claim exemption from withholding because I am domiciled in one of the following states. Check state that applies: District of Columbia, Virginia, West Virginia.

Check the appropriate state if you are a resident of DC, VA, or WV and do not maintain a place of abode in Maryland. Write “EXEMPT” here if this applies.

Line 5:
I claim exemption from Maryland state withholding because I am domiciled in the Commonwealth of Pennsylvania and I do not maintain a place of abode in Maryland as described in the instructions on Form MW507. Enter “EXEMPT” here.

If you meet these criteria, write “EXEMPT” here.

Line 6:
I claim exemption from Maryland local tax because I live in a local Pennsylvania jurisdiction within York or Adams counties. Enter “EXEMPT” here and on line 4 of Form MW507.

If you qualify, write “EXEMPT” here and also on line 4.

Line 7:
I claim exemption from Maryland local tax because I live in a local Pennsylvania jurisdiction that does not impose an earnings or income tax on Maryland residents. Enter “EXEMPT” here and on line 4 of Form MW507.

If this applies, write “EXEMPT” here and on line 4.

Line 8:
I claim exemption from withholding under the Servicemembers Civil Relief Act, as amended by the Military Spouses Residency Relief Act. Enter “EXEMPT” here.

If you qualify under these federal laws, write “EXEMPT” here.

Personal Information Section

Print full name: Enter your full legal name.
Street Address, City, State, ZIP: Fill in your complete current address.
Social Security Number: Enter your SSN as required for tax reporting.
County of residence: If you are a nonresident, enter the Maryland county (or Baltimore City) where you work.

Marital Status and Withholding Rate

Married, but withhold at Single rate: Check if you want to have taxes withheld at the single rate, even though you are married.
Married (surviving spouse or unmarried Head of Household) Rate: Check if you qualify for these statuses.
Single: Check if you are single.

Employer Use Section

Employer’s name and address including ZIP code: For employer completion.
Federal Employer Identification Number: For employer completion.
Date: Enter the date you complete the form.
Employee’s signature: Sign to certify the information is correct.

Personal Exemptions Worksheet (Page 2)

Line a:
Multiply the number of your personal exemptions by the value of each exemption (see income table on the form).

Use the table to determine the correct exemption value based on your expected federal adjusted gross income and filing status.

Line b:
Multiply the number of additional exemptions for dependents age 65 or over by the value from the table.

Line c:
Enter the estimated amount of your itemized deductions (excluding state/local income taxes) that exceed your standard deduction, alimony, allowable childcare expenses, retirement contributions, business losses, and employee business expenses for the year.

Line d:
Enter $1,000 for additional exemptions for taxpayer and/or spouse age 65 or over and/or blind.

Line e:
Add total of lines a through d.

Line f:
Divide the amount on line e by $3,200. Drop any fraction. Do not round up. This is the maximum number of exemptions you may claim for withholding tax purposes.

Additional Notes

Federal Privacy Act Information: Your SSN is required for tax administration and is protected under state law.
Certification: By signing, you certify the number of exemptions or exempt status is correct under penalty of perjury.
Updates: File a new MW507 within 10 days if your number of exemptions changes during the year.