Whether you’re a Maryland resident or nonresident, find out if you have to file a MD tax return
State taxes are one of the most complicated elements of tax. Sometimes just figuring out whether you have to file at all can be the hardest part.
If you live or work in Maryland you likely have to file a MD tax return. The first step is figuring out whether you are a resident or not. Then, refer to the filing requirements below to see if you have to file a return.
Residents
Most residents – generally those who live in Maryland – have to file a tax return. As residents, the state of Maryland has the right to tax all of your income, no matter where it was earned.
The only exception is those whose income falls below the filing threshold. For example, a single person under the age of 65 who makes less than $9,750 doesn’t have to file a return.
Refer to the chart at the bottom of the article to see the filing threshhold for your age and filing status.
Nonresidents
Nonresidents are generally those who live in a state other than Maryland. Nonresidents have to file a tax return if they received income from Maryland sources. In this case, however, you only have to pay tax on the income you earned in Maryland, not your total income.
As is the case with residents, nonresidents do not have to file a return if their income is below the filing thresholds at the bottom of this article. However, the filing thresholds apply to your overall income, not just your Maryland-source income. So if your overall income is above the threshold but your Maryland-source income is below it, you still have to file.
Special cases for nonresidents
Maryland has reciprocal agreements with the District of Columbia, Pennsylvania, Virginia, and West Virginia. If you live in one of those states but work in Maryland, you may not need to file a Maryland return. For more information, refer to section 11 of the Nonresident Tax Forms & Instructions.
The other special case in which you have to file a Maryland return even if you don’t meet the normal requirements: if Maryland taxes were wrongly withheld from your wages. In this case, even though you don’t actually owe any taxes to Maryland, you still have to file in order to get that money refunded back to you. This is one of the reasons it’s so important to get your withholding right at the beginning of the tax year.
Tax Year 2012 Filing Thresholds
The following are the income thresholds below which you do not need to file a return. They are the same for Maryland taxes as they are for federal taxes, so if you make less than these income limits you don’t have to file a state or federal return.
Note that these income thresholds apply to both Maryland residents and nonresidents.
Single
| Under 65 | $9,750 |
| 65 or older | $11,200 |
Head of Household
| Under 65 | $12,500 |
| 65 or older | $13,950 |
Married Filing Jointly
| Both under 65 | $19,500 |
| One spouse 65 or older | $20,650 |
| Both 65 or older | $21,800 |
Married Filing Separately
| All ages | $3,800 |
Qualifying Widow(er)
| Under 65 | $15,700 |
| 65 or older | $16,850 |
Still haven’t filed your Maryland tax return? No problem. You can take care of it online through RapidTax.
Photo via Mark Peters on Flickr.
Hello,
I left france to come to USA in Maryland in agust 25, 2016 so i want to know if as a part-year residency i have to pay taxes? Some colleagues have told me that as I spent less than 6 months in maryland, even if I submit for taxes, I will have nothing to pay.
Is it true? thank you for your reply
Hajar
If you are a part year resident of MD and earned income there, the state requires you to file a tax return if your MD gross income equals or exceeds the level listed
here for your filing status.
I am a graduate student – I go to school and live in Indiana. I earn income and spend most of the days in year in Indiana
However, I use my parent’s address in MD and I still have my MD license. I spend about 30-60 days of the year in MD, but make no income in MD. How do I file? Do I file residence-tax in both states?
Residency rules vary from state to state. If you spend more than a certain number of days in some states, you’re considered a resident. My best advice to you is to check with your State Department of Revenue for specific residency rules, especially as they applies to your particular situation.
Greetings, I work in Maryland but have my permanent residence is in Tennessee. Do I have to fill out the Maryland 507 Tax form for my employer? Is there a Maryland Non-Resident Tax Form I can fill out?
If your personal and financial situation has changed, you can fill out form MW507 and submit it to your employer to ensure they withhold the correct MD income taxes from your pay. Your Non-resident return is prepared based on the State information reported on your W-2. Rapidtax handles the preparation of non-resident returns. Click here to get started.
Hello,
I am currently working as a GS employee since January 2012, in Landstuhl Germany. Prior to January 2012 I was an active duty service member with the Army and was stationed in Heidelberg, Germany from June 2009 until January 2012. Prior to this I was stationed in San Antonio TX. My home of record is Maryland. I used to live with my family there before joining the Military. My family has since moved to Florida and no of us own anything in Maryland. I have been paying Maryland taxes since 2009. Each year on top of my deductions I have had to pay out of pocket even while I was on active duty.
It seems unfair that I continue to pay MD taxes and do not have a place to call home there. I have no connections to MD. When I come to the states I stay in FL with family.
Should I be paying taxes to MD? What can I do about past taxes?
V/r,
Jason Jewell
Hi Jason,
Based on what you have mentioned in your comment above, the first step to take is to update your home of record with the military. Since MD has been your home of record since you were enlisted, you’ll need to make this update before you can amend any of your tax returns filed to claim back taxes you paid already. You should not be subject to Maryland taxes since the time you would have no longer considered it to be your home.
So I earned 12,297.00 from the State of Maryland in 2014 but remained a resident in Pennsylvania. Claimed that amount on my PA taxes and now the state of MARYLAND is claiming I need to file taxes with them?
Hi Tim,
Although there is a reciprocal agreement between Maryland and PA, you may still need to file a return in some cases. Take a look on your 2014 W-2 to see if Maryland taxes were being withheld. If so, you may even want to file taxes with the state to claim some of that money back. I suggest checking out the non-resident Maryland tax instructions for even more information in full detail. This will show you all rules that pertain to your specific tax situation.