Disclaimer: This calculator gives you an estimate based on tax rates and details found online. These rates may change over time. For the most accurate and up-to-date information, please check the official IRS website and your state’s tax website. Always talk to a tax expert for advice about your personal tax situation.
How We Calculate the Result
To calculate Maryland state income tax, we first take your household income and subtract any contributions you made to 401(k) and IRA accounts. Then we subtract either your itemized deductions or the standard deduction—whichever is higher. We also subtract $3,200 for each personal exemption you claim.
Once we find your taxable income, we apply Maryland’s progressive tax rates, which range from 2% to 5.75%. This means lower income is taxed at lower rates, and higher income is taxed at higher rates. Finally, we calculate your estimated Maryland income tax and also show your effective tax rate based on your total income. We also check whether you need to file a federal tax return, based on your age and filing status.
About Maryland Income Tax
Maryland uses a progressive income tax system. This means your income is taxed in parts—each part is taxed at a different rate. The state tax rate ranges from 2% to 5.75%, depending on how much you earn. In addition to state taxes, Maryland counties also collect local income taxes, which typically range from 2.25% to 3.20%, but our calculator focuses only on the state portion.
Maryland also allows deductions like standard/itemized deductions and personal exemptions. For 2025, the standard deduction is up to $2,500 for single filers and $5,050 for joint filers, while each personal exemption is worth $3,200. This system helps lower-income individuals pay less, and higher earners contribute more. Maryland’s approach is aimed at making the tax system fair and manageable for all residents.
Frequently Asked Questions
What is the income tax rate in Maryland?
Maryland uses a progressive income tax system with rates ranging from 2% to 5.75%, depending on your taxable income. The more you earn, the higher the portion of income taxed at a higher rate. This calculator shows only state-level taxes, not local county rates.
When do singles start paying Maryland income tax?
In Maryland, single individuals must generally file a tax return and may owe state income tax if their income exceeds $14,600 if they are under age 65. If they are 65 or older, the threshold increases to $16,550. These numbers are based on federal filing requirements.
When do married filers start paying Maryland Income tax?
Married couples filing jointly in Maryland are typically required to file and possibly pay income tax if their combined income exceeds $29,200 (both under 65), $30,750 (one spouse over 65), or $32,300 (both over 65). These match the federal tax filing thresholds.
What deductions are allowed in Maryland taxes?
Maryland allows taxpayers to deduct standard or itemized deductions, whichever is higher. The standard deduction ranges from $1,600 to $2,500 for single filers and up to $5,050 for joint filers. You can also claim personal exemptions worth $3,200 each.
Is there local income tax in Maryland?
Yes, Maryland counties and Baltimore City charge local income taxes in addition to the state tax. These rates vary by location, usually between 2.25% and 3.20%. However, this calculator only estimates the state income tax portion.