Taxes in Maryland

Maryland Tax Rates, Collections, and Burdens

How does Maryland’s tax code compare? Maryland has a graduated individual income tax, with rates ranging from 2.00 percent to 5.75 percent. There are also jurisdictions that collect local income taxes. Maryland has a 8.25 percent corporate income tax rate. Maryland has a 6.00 percent state sales tax rate and does not levy any local sales taxes. Maryland’s tax system ranks 46th overall on our 2022 State Business Tax Climate Index.

Each state’s tax code is a multifaceted system with many moving parts, and Maryland is no exception. The first step towards understanding Maryland’s tax code is knowing the basics. Click the tabs below to learn more! You can also explore our state tax maps, which are compiled from our annual publication, Facts & Figures: How Does Your State Compare?

Top Individual Income Tax Rate

5.75%

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State and Local Individual Income Tax Collections per Capita

$2470

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State and Local Tax Burden

11.3%

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Top Corporate Income Tax Rate

8.25%

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State Business Tax Climate Index Ranking

46

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State Sales Tax Rate

6.00%

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Combined State and Average Local Sales Tax Rate

6.00%

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State and Local General Sales Tax Collections per Capita

$809

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State Gasoline Tax Rate (cents per gallon)

36.10¢

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State Cigarette Tax Rate (dollars per 20-pack)

$3.75

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Property Taxes Paid as a Percentage of Owner-Occupied Housing Value

1.04%

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State and Local Property Tax Collections Per Capita

$1689

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Featured Articles

2022 Sales Tax Holidays: Bad Policy Any Year, But Especially in Response to High Inflation

August 2, 2022

State and Local Sales Tax Rates, Midyear 2022

July 19, 2022

State Tax Reform and Relief Enacted in 2022

July 13, 2022

Vapor Taxes by State, 2022

July 5, 2022

State Tax Changes Taking Effect July 1, 2022

June 28, 2022

Two Dozen States Show Why the Kansas Critique of Income Tax Cuts Is Mistaken

May 24, 2022


Related Articles

2022 Sales Tax Holidays: Bad Policy Any Year, But Especially in Response to High Inflation

August 2, 2022

State and Local Sales Tax Rates, Midyear 2022

July 19, 2022

State Tax Reform and Relief Enacted in 2022

July 13, 2022

Vapor Taxes by State, 2022

July 5, 2022

State Tax Changes Taking Effect July 1, 2022

June 28, 2022

Two Dozen States Show Why the Kansas Critique of Income Tax Cuts Is Mistaken

May 24, 2022

Ranking Property Taxes on the 2022 State Business Tax Climate Index

May 10, 2022

State Sales Tax Breadth and Reliance, Fiscal Year 2021

May 4, 2022

Ranking Unemployment Insurance Taxes on Our 2022 State Business Tax Climate Index

April 26, 2022

State and Local Tax Burdens, Calendar Year 2022

April 7, 2022

State Legislatures Take Up Tax Reform and Relief in 2022

March 29, 2022

Facts & Figures 2022: How Does Your State Compare?

March 29, 2022

Maryland Digital Advertising Tax Litigation Focus Moves to State Courts

March 23, 2022

Ranking Individual Income Taxes on the 2022 State Business Tax Climate Index

March 15, 2022

Ranking Corporate Income Taxes on the 2022 State Business Tax Climate Index

March 1, 2022

State Individual Income Tax Rates and Brackets for 2022

February 15, 2022

State and Local Sales Tax Rates, 2022

February 3, 2022

State Corporate Income Tax Rates and Brackets for 2022

January 18, 2022

Net Operating Loss Provisions: State Treatment and the Economic Benefits

January 13, 2022

State Tax Changes Effective January 1, 2022

January 11, 2022