Frequently asked questions
- How does Maryland local income tax work?
- Maryland is unusual: every county (and Baltimore City, treated as a county) piggybacks on the state income tax with its own local rate, between 2.25% and 3.20%. Withheld by your employer based on your county of residence on the last day of the tax year. Residence-based, not work-based.
- I work in DC but live in MD — what do I pay?
- DC has its own income tax that withholds from your DC wages. MD then credits you for the DC tax paid against your MD state tax, but you still owe the MD county piggyback to your county of residence. Verify with a CPA.
- Maximum allowed rate?
- Maryland caps the county piggyback at 3.20%. Many counties (including Baltimore City and County, Howard, Prince George's, Queen Anne's, and several others) charge the maximum.
- Lowest rates?
- Worcester County (2.25%) and Talbot County (2.40%) have the lowest piggyback rates in MD. Garrett (2.65%) is also relatively low.
- Non-residents working in MD?
- Out-of-state residents working in MD pay Maryland's non-resident rate of 1.75% in lieu of a county piggyback. Your home state typically credits you for the MD tax paid.
USA · MARYLAND COUNTY RATES · 2026 · Educational only
Maryland county income tax rates
Maryland is the piggyback state. Every county and Baltimore City levies its own local income tax rate on top of state tax, between 2.25% and 3.20%. Residence-based: it follows where you LIVE on the last day of the tax year, not where you work.
| County | Rate (2026) | Note |
|---|---|---|
| Allegany | 3.05% | |
| Anne Arundel | 2.81% | Tiered: 2.70% under $50k, 2.81% over |
| Baltimore City | 3.20% | Maximum allowed; same as Baltimore County |
| Baltimore County | 3.20% | Maximum allowed; same as Baltimore City |
| Calvert | 3.00% | |
| Caroline | 3.20% | Maximum allowed |
| Carroll | 3.03% | |
| Cecil | 3.00% | |
| Charles | 3.03% | |
| Dorchester | 3.20% | Maximum allowed |
| Frederick | 2.96% | Tiered: 2.75% under $100k, 2.96% over |
| Garrett | 2.65% | |
| Harford | 3.06% | |
| Howard | 3.20% | Maximum allowed |
| Kent | 3.20% | Maximum allowed |
| Montgomery | 3.20% | Tiered up to 3.20%; verify your bracket |
| Prince George's | 3.20% | Maximum allowed |
| Queen Anne's | 3.20% | Maximum allowed |
| Somerset | 3.20% | Maximum allowed |
| St. Mary's | 3.10% | |
| Talbot | 2.40% | Lowest in MD |
| Washington | 2.95% | |
| Wicomico | 3.20% | Maximum allowed |
| Worcester | 2.25% | One of the lowest in MD |
Verify any individual rate with the Comptroller of Maryland before relying on it for tax filing. MD revises county rates annually.
Common questions
- How does Maryland local income tax work?
- Maryland is unusual: every county (and Baltimore City, treated as a county) piggybacks on the state income tax with its own local rate, between 2.25% and 3.20%. Withheld by your employer based on your county of residence on the last day of the tax year. Residence-based, not work-based.
- I work in DC but live in MD — what do I pay?
- DC has its own income tax that withholds from your DC wages. MD then credits you for the DC tax paid against your MD state tax, but you still owe the MD county piggyback to your county of residence. Verify with a CPA.
- Maximum allowed rate?
- Maryland caps the county piggyback at 3.20%. Many counties (including Baltimore City and County, Howard, Prince George's, Queen Anne's, and several others) charge the maximum.
- Lowest rates?
- Worcester County (2.25%) and Talbot County (2.40%) have the lowest piggyback rates in MD. Garrett (2.65%) is also relatively low.
- Non-residents working in MD?
- Out-of-state residents working in MD pay Maryland's non-resident rate of 1.75% in lieu of a county piggyback. Your home state typically credits you for the MD tax paid.
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PayslipIQ provides educational information and estimated calculations only. It does not provide tax, legal, financial, accounting, employment, benefits, or payroll advice. PayslipIQ is not a CPA firm, law firm, financial advisor, payroll provider, or tax authority. Always verify your paycheck, deductions, withholdings, and tax position with your employer's payroll department, a qualified CPA, the IRS, your state tax authority, or another appropriately qualified professional. Calculations are estimates; your actual paycheck may differ based on factors specific to your employer, location, benefits elections, and personal tax situation.