Section 10-102 – Imposition of Tax — in General

    Except as provided in § 10-104 of this subtitle, a tax is imposed on the Maryland taxable income of each individual and of each corporation.

Section 10-102.1 – Imposition of Tax — Certain S Corporations and Partnerships

    (a)    (1)    In this section the following words have the meanings indicated.         (2)    “Distributable cash flow” means taxable income reportable by a pass–through entity on its federal income tax return for the taxable year:             (i)    adjusted, in the case of an entity using the accrual method of accounting to report federal taxable income, to reflect the amount of taxable […]

Section 10-103 – County Income Tax

    (a)    Each county shall have a county income tax on the Maryland taxable income of:         (1)    each resident, other than a fiduciary, who on the last day of the taxable year:             (i)    is domiciled in the county; or             (ii)    maintains a principal residence or a place of abode in the county;         (2)    each personal representative of an estate if the […]

Section 10-104 – Exemptions

    The income tax does not apply to the income of:         (1)    a common trust fund, as defined in § 3–501(b) of the Financial Institutions Article;         (2)    except as provided in §§ 10–101(e)(3) of this subtitle and 10–304(2) of this title, an organization that is exempt from taxation under § 408(e)(1) or § 501 of the Internal Revenue […]

Section 10-105 – State Income Tax Rates

    (a)    (1)    For an individual other than an individual described in paragraph (2) of this subsection, the State income tax rate is:             (i)    2% of Maryland taxable income of $1 through $1,000;             (ii)    3% of Maryland taxable income of $1,001 through $2,000;             (iii)    4% of Maryland taxable income of $2,001 through $3,000;             (iv)    4.75% of Maryland taxable income of $3,001 through […]

Section 10-106 – County Income Tax Rate

    (a)    (1)    Each county shall set, by ordinance or resolution, a county income tax equal to at least 2.25% but not more than 3.20% of an individual’s Maryland taxable income for a taxable year beginning after December 31, 2001.         (2)    A county income tax rate continues until the county changes the rate by ordinance or resolution.         (3)    (i)    A county […]

Section 10-106.1 – Individuals Subject to State Tax but Not County Tax

    (a)    An individual subject to the State income tax under § 10-105(a) of this subtitle, but not subject to the county income tax under § 10-106 of this subtitle, shall be subject to the tax imposed under this section.     (b)    The rate of the tax imposed under this section shall be equal to the lowest county income […]

Section 10-107 – Application of Federal Income Tax Law

    To the extent practicable, the Comptroller shall apply the administrative and judicial interpretations of the federal income tax law to the administration of the income tax laws of this State.

Section 10-108 – Effect of Amendment of Internal Revenue Code; Report by Comptroller

    (a)    Except as provided in subsection (c) of this section and unless expressly provided otherwise by law, an amendment of the Internal Revenue Code that affects the determination of federal adjusted gross income or federal taxable income, does not affect the determination of Maryland taxable income under this title for:         (1)    any taxable year that begins in […]

Section 10-109 – Authorization to Distribute, Apportion, or Allocate Certain Tax Attributes Between and Among Organizations

    (a)    The Comptroller may distribute, apportion, or allocate gross income, deductions, credits, or allowances between and among two or more organizations, trades, or businesses, whether or not incorporated, whether or not organized in the United States, and whether or not affiliated, if:         (1)    the organizations, trades, or businesses are owned or controlled directly or indirectly by the […]