How to File a Maryland Tax Return in 2024: Deadlines, Tax Credits, and Filing Tips

For all residents, part-year residents, and business entities, filing the Maryland tax return correctly for the 2024 tax year is essential. This process ensures that the state receives accurate income reports while taxpayers claim the deductions and credits they are entitled to. The Maryland Comptroller’s Office works closely with the Internal Revenue Service to ensure that state returns align with the federal income tax return. By following the correct tax filing steps, individuals can avoid penalties, protect their funds, and receive refunds faster.

The process begins with completing your federal tax return because it forms the basis for Maryland’s state returns. Taxpayers must collect all relevant documents, including W-2 forms from employers, 1099s for other income, and bank account information for direct deposit. Using these details, taxpayers can file electronically or by mail. Electronic filing remains the fastest way to process state returns and ensures that the routing number and account details for refunds are entered correctly. Those who electronically file usually benefit from reduced waiting times.

The state offers multiple resources through the department website, where taxpayers can request forms, review payment instructions, and visit pages with updated information. Using these resources ensures compliance with tax laws while maximizing credits and minimizing interest on late payments.

Overview of Maryland Income Tax for 2024

Maryland income tax rules for the 2024 tax year apply to residents, part-year residents, and business entities earning income in the state. Taxpayers must understand who must file, how the tax year operates, and the new updates introduced for this period. The Comptroller’s Office collaborates with the Internal Revenue Service to ensure consistency between state and federal income tax returns. By understanding these rules early, taxpayers can prepare required forms, report income accurately, and avoid penalties. Proper preparation also helps taxpayers qualify for credits and refunds, minimizing delays.

Who Must File a Maryland Tax Return?

• Residents who lived in Maryland for the entire year and meet state income thresholds must file a return. This includes anyone with income above the minimum filing requirement, which aligns with federal tax rules.
  
  
• Part-year residents must file if they lived in Maryland for only part of the year but earned income during their stay. They may need to report both Maryland-source income and income earned elsewhere.
  
  
• Military personnel and their family must file if their legal domicile is Maryland, even if stationed outside the state. Certain income exemptions may apply, but the filing requirement remains.
  
  
• Self-employed individuals, freelancers, and sole proprietors must report all earnings and business-related income using supporting schedules. Failure to report this income can result in penalties.
  
  
• Nonresidents with Maryland-source income may also be required to file a state return to report taxable earnings connected to the state.

Updates for the 2024 Tax Year

• New credits and subtractions, such as those for volunteer service, small business contributions, and qualifying retirement income exclusions, are now accessible. These updates reduce taxable amounts and benefit eligible taxpayers.
  
  
• The Maryland PORT Act introduces additional relief for affected taxpayers, particularly those impacted by significant state events. This benefit helps lower tax liabilities for those who qualify.
  
  
• Expanded credits for certain business entities encourage investment in Maryland’s economy, providing tax incentives for companies that meet specific criteria.
  
  
• Pension and retirement-related deductions have been adjusted, increasing the amount eligible retirees can subtract from taxable income. This change is beneficial for senior taxpayers.
  
  
• Updated thresholds for exemptions and deductions make it easier for many individuals to qualify for reduced taxes, directly lowering their overall tax obligation.

The tax year runs from January 1 to December 31, 2024, and generally follows the federal tax calendar. By reviewing official guidance and visiting the Maryland Comptroller's website, taxpayers can remain informed about deductions, credits, and changes in reporting requirements. Using these resources ensures taxpayers meet compliance standards, qualify for benefits, and avoid unnecessary interest or penalties.

Tax Deadline for Maryland State Returns

Understanding the tax deadline for Maryland state returns is essential to avoid penalties, interest, and other complications. The Comptroller’s Office sets specific dates for when taxpayers must file, while the Internal Revenue Service governs federal timelines. These deadlines apply to individuals, self-employed professionals, and business entities. Meeting them ensures that your income tax returns are processed efficiently and that you receive refunds without unnecessary waiting.

• The standard tax deadline for Maryland state returns is April 15, 2025. This is the same date used for federal income tax returns, ensuring consistency for taxpayers preparing both returns. Filing by this date prevents penalties and keeps the process smooth.
  
  
• An extension to October 15, 2025, is available but must be requested before the original April deadline. Extensions provide more time to file, but do not extend the deadline for payment. Any balance owed must still be paid by April to avoid additional interest.
  
  
• Electronic filing offers an extended payment option for direct debit until April 30, 2025. This benefit applies only to taxpayers who electronically file and choose to pay through an approved electronic method, giving a small window of flexibility.

Missing deadlines can lead to costly outcomes. Penalties are calculated based on the amount owed, and interest accumulates until the full payment is received. The treasury has the authority to enforce collections, so timely filing and payment are critical for avoiding enforcement actions.

• To request an extension, taxpayers must file Form 502E or use the department’s online portal before April 15. Submitting this form ensures that your filing is recognized, even if additional documentation is pending.
  
  
• Payments must still be made by the original April deadline to prevent interest and penalties. The extension only applies to filing documents, not to delaying payment obligations.
  
  
• Extensions are helpful for those needing more time to organize records, report other income, or clarify complex deductions. However, they should not be relied upon to postpone paying taxes.

Meeting deadlines is an essential part of proper tax filing. By submitting forms early and using electronic filing, taxpayers can protect their funds and avoid dealing with the agency over late payments. For additional details, you can visit the official IRS page or the Maryland Comptroller website.

By planning and meeting every tax deadline, taxpayers protect themselves from unnecessary charges and ensure smoother interactions with state agencies. Early preparation, especially when using e-file, reduces errors and ensures that refunds are processed promptly.

Step-by-Step Guide on How to File a Maryland Tax Return in 2024

Filing your Maryland tax return for the 2024 tax year requires a straightforward process that aligns with state and federal regulations. The Comptroller’s Office and the Internal Revenue Service work together to ensure that reported information matches both returns. Following each step carefully will help taxpayers report income accurately, claim credits, and avoid interest or penalties. This approach is particularly important for self-employed individuals, business owners, or individuals with multiple other income sources.

Step 1: Gather All Required Documents
Before filing, collect your W-2 forms from employers, 1099s for other income, and last year’s federal income tax return. You will also need certificates or schedules showing deductions and credits for family members. Accurate records ensure you can claim exemptions and qualify for tax benefits. Have your bank account and routing number ready if you choose direct deposit, which is the fastest way to receive your refund.

Step 2: Complete Your Federal Return First
Maryland tax filing depends on data from your federal tax return. The federal adjusted gross income calculated by the Internal Revenue Service forms the basis of state returns. Completing your federal return first allows Maryland forms to automatically identify eligible deductions, subtractions, and credits. This step also minimizes errors that could delay processing at the state and treasury departments.

Step 3: Fill Out the Maryland Form and Report Income
Use Maryland Form 502 to enter your income, deductions, and any credits you can claim. Include details for family members, dependents, and other income reported during the tax year. If you are self-employed, attach schedules that report business income and expenses. Make sure to report payments already made and keep records of funds paid through estimated tax installments.

Step 4: Review, Calculate, and File Your Return
Once all information is entered, calculate the total tax owed or refund due. Maryland’s tax tables help determine your final liability. If you owe money, select a payment option through the department portal or mail a check with Form PV. To electronically file, use the Maryland iFile system, which securely submits your state returns and reduces waiting times. Opting for direct deposit ensures your refund is sent quickly to your bank account.

Completing these steps accurately ensures compliance with state tax laws and increases the chance of a smooth, error-free process. Taxpayers who electronically file and use direct deposit generally receive refunds faster and avoid mailing delays. For further guidance, the Maryland Comptroller’s Office provides instructions on its official page and offers resources for individuals and business entities.

Tax Credits You May Qualify For

Credits for Families and Dependents

Maryland offers a range of tax credits to help reduce taxpayers' debts. Families with qualifying dependents can claim credits that offset their income tax. These consist of exemptions applicable to various household situations, child tax credits, and deductions for family members. Taxpayers who meet the eligibility requirements for these credits may lower their overall liability, freeing up funds for other expenses. The Comptroller’s Office applies these credits correctly when claims are reported on Maryland Form 502. By accurately completing the form, taxpayers can claim benefits that improve their financial outcomes during the tax year.

Credits for Small Businesses and Self-Employed

The state also provides targeted benefits for small business owners and self-employed individuals. These credits support economic growth by rewarding businesses that meet specific requirements, such as contributing to community development or investing in specific industries. Relief is also available to qualifying taxpayers whose significant state events under the Maryland PORT Act have been impacted. Business entities can claim deductions for certain operating costs, and self-employed individuals can report expenses that directly reduce taxable income. These credits are crucial for reducing the burden on small enterprises while ensuring compliance with tax laws.

Taking advantage of available credits requires accurate documentation and a clear understanding of state rules. Taxpayers should visit the Maryland Comptroller website for updated instructions and to verify eligibility for all credits. Applying for the proper credits lowers the amount owed and may increase the refund received. The department provides resources to help taxpayers navigate these opportunities effectively.

Tax Filing Options and the Fastest Way to Get Your Refund

Choosing the proper tax filing method can significantly impact how quickly your Maryland state return is processed. The Comptroller’s Office and the Internal Revenue Service both encourage taxpayers to file electronically, as it ensures accuracy, reduces waiting times, and helps funds reach bank accounts faster. Direct deposit expedites the release of refunds and reduces the risks associated with postal delays and paper checks. Taxpayers who follow these guidelines generally experience fewer errors and faster processing during the tax year.

• Electronic filing allows you to submit your return securely through the Maryland iFile system.
  
  
• Direct deposit ensures refunds are transferred quickly to your bank account or savings.
  
  
• Using approved tax preparation software can automatically identify credits and errors before submission.

While electronic filing is highly recommended, some taxpayers may still prefer traditional methods. Paper filing remains an option, but it can slow down the processing of income tax returns. Mailing forms to the department address also requires additional verification and manual handling time, which can delay refund payments.

• Mailing a paper check with Form PV is available if electronic payment is not an option.
  
  
• Professional tax preparers can assist with paper and electronic filing to ensure accuracy.
  
  
• Filing on paper may take longer due to mailing time and manual review by the Treasury Department.

Selecting the correct tax filing method helps ensure your return is processed efficiently. For most taxpayers, electronically filing options combined with direct deposit provide the fastest way to receive a refund. This approach avoids unnecessary waiting, minimizes errors, and ensures compliance with state requirements. For more details, visit the official Maryland iFile System to begin your secure submission process.

Special Considerations for Self-Employed Taxpayers

Self-employed individuals and sole proprietors have unique filing requirements when submitting their Maryland tax returns. These taxpayers must report personal and business income, including multiple other income streams throughout the tax year. The Comptroller’s Office requires accurate reporting to ensure that deductions and credits are applied correctly. Preparing ahead and understanding specific rules can help self-employed taxpayers save money while staying compliant.

Filing Requirements for Self-Employed Individuals

• Report all income, including earnings not reported on W-2 forms.
  
  
• Use supporting schedules when claiming deductions related to business expenses.
  
  
• Make quarterly estimated payments to avoid interest and penalties.

Small Business Entity Credits

• Qualify for credits that reduce taxable income when meeting state requirements.
  
  
• Report eligible expenses, such as investments in specific projects or local development.
  
  
• Include certificates and documentation when claiming these benefits.

Midway through filing, self-employed taxpayers should verify that all deductions and credits have been accurately reported. This step ensures that the Internal Revenue Service data matches state returns, preventing errors or delays in processing.

Payment Options for Those Who Owe Funds

• Pay electronically through the department’s online portal for faster processing.
  
  
• Schedule payments using ACH transfers directly from your bank account.
  
  
• Mail a check if electronic options are unavailable, ensuring it reaches the treasury on time.

Resources for Business Owners

• Visit the official Comptroller’s page to access forms, instructions, and updated guidance.
  
  
• Use professional tax software to help automatically identify allowable deductions.

Proper preparation and accurate reporting benefit self-employed taxpayers. Using the correct forms, maintaining detailed records, and leveraging available agency resources ensures smooth processing and maximized tax benefits.

Tracking Refunds and Making Payments

Tracking Refunds

Monitoring your refund status after submitting your Maryland tax return helps ensure the process moves smoothly. The Comptroller’s Office provides an online Refund Status Portal where taxpayers can track real-time payments. This system lets you confirm when funds have been approved and transferred to your bank account. An automated phone line can provide updates anytime for those who cannot access the portal. Taxpayers who electronically file and choose direct deposit typically receive their refunds faster than those who request paper checks. Ensuring the correct routing number and account information is critical for avoiding delays.

Making Payments

For taxpayers who owe funds, the department offers several secure payment methods. Electronic payments through the state’s online portal are recommended because they allow immediate confirmation and faster processing. ACH transfers directly from a bank account also provide a convenient option with no additional fees. If electronic payments are not possible, mailing a check remains an alternative. However, checks should be sent with the proper Form PV and to the correct address to avoid processing errors. Timely payments prevent interest and penalties from accumulating, ensuring compliance with state treasury regulations. An electronic method is generally the most efficient way to meet payment obligations.

Resources and Agencies You Should Know

Accessing the right resources ensures taxpayers can complete their Maryland state returns without complications. Both state and federal agencies provide official tools, instructions, and updates that guide individuals, families, and business entities through the filing process. These resources are essential for reporting income accurately, requesting extensions, and ensuring that payments are processed correctly.

Maryland Comptroller’s Office

The Maryland Comptroller’s Office manages the filing, payment, and refund process for state income tax returns. Taxpayers can download forms, review filing instructions, and check refund status through the department's official page. The agency also provides online tools to help taxpayers automatically identify eligible credits, calculate amounts owed, and submit payments securely. Visiting this page regularly ensures compliance with the latest tax rules and helps avoid errors that could delay refunds.

Internal Revenue Service and Treasury Department

The Internal Revenue Service oversees federal income tax returns, directly influencing state reporting. Filing your federal return first ensures that Maryland forms align with federal data. The U.S. Treasury Department works with the IRS to manage policies, collect payments, and protect funds nationwide. These agencies also offer online portals and contact options to support taxpayers during the filing season.

Key online resources include:

• Maryland Comptroller's official website for forms and filing updates.
  
  
• IRS online services for federal return status and payment options.
  
  
• Treasury Department resources for policies and taxpayer assistance.

Using these agencies’ services provides accurate information, ensures secure payment processing, and minimizes the risk of interest or penalties. Relying on official tools and pages is the best approach to completing your return correctly.

Frequently Asked Questions 

Understanding common questions about Maryland tax filing helps taxpayers confidently complete the process. Below are answers to frequently asked questions, including handling deadlines, using e-file options, and ensuring accurate returns.

What if I miss the April tax deadline?

Missing the April tax deadline may result in penalties and interest on any amount owed. You should file as soon as possible, even if you cannot pay the full balance. Filing late is better than not filing, as it reduces additional penalties. Requesting an extension before the deadline can also give more time to submit the required forms.

Can I e-file Maryland state returns for free?

Yes, Maryland offers free e-file options through the official iFile system. This service allows taxpayers to submit returns electronically without cost. It is secure, helps automatically identify errors, and provides faster processing than mailing paper returns. Most taxpayers qualify to use this service, making it the most efficient way to submit state returns.

How do I request an extension and avoid interest penalties?

You can request an extension by submitting Form 502E or using the department’s online portal before April 15. While an extension grants additional filing time, any owed taxes must still be paid by the original deadline to avoid interest. Paying as much as possible by April helps reduce penalties, even if you cannot pay the full amount.

What deductions and credits are most often missed by taxpayers?

Many taxpayers forget to claim the volunteer service credit, military retirement pay exclusions, and various pension deductions. Others overlook credits for dependents and small businesses. Reviewing all eligible credits on Maryland Form 502 and related schedules helps ensure you do not miss savings opportunities. Using e-file systems can also help detect unclaimed credits.

How can self-employed individuals report other income and claim deductions?

Self-employed taxpayers must report all other income using supporting schedules attached to Maryland Form 502. They may claim deductions for business expenses that directly reduce taxable income. Keeping detailed records of income and expenses throughout the tax year is essential. E-file software can simplify this process by guiding users through required sections and deductions.