Maryland lets you pay state income tax online, by mail, or through your employer's payroll system
Maryland residents owe state income tax on wages, self-employment income, and certain other earnings. You can pay what you owe through the Maryland Department of Revenue's online portal, by mailing a check, or by having your employer withhold tax from each paycheck. The method you choose depends on whether you're paying estimated taxes, settling a bill from your tax return, or adjusting your withholding to avoid owing money at the end of the year.
Most people pay through payroll withholding and never write a check. If you're self-employed, have investment income, or expect to owe more than your withholding covers, you'll need to make estimated quarterly payments or pay the full amount when you file your return.
Key Takeaways
- The Maryland Department of Revenue accepts online payments through their website, by mail, or through your employer's payroll system.
- If you owe money when you file your return, you can pay online immediately or mail a check with your tax form.
- Self-employed people and those with other income sources usually make four estimated tax payments per year on specific dates set by Maryland.
- Paying online through the state portal is the fastest method and gives you a confirmation number immediately.
- If you underpay, Maryland charges interest and penalties, so it's better to overpay through withholding than to owe a large bill later.
Paying taxes you owe when you file your return
When you complete your Maryland tax return and find that you owe money, you have two main options: pay online through the Maryland Department of Revenue website or mail a check. If you file electronically, you can authorize an electronic withdrawal from your bank account on the same day you submit your return. If you file on paper, you must mail your payment with your return form.
To pay online, go to the Maryland Department of Revenue's payment portal, enter your Social Security number or tax identification number, and follow the prompts to link your bank account. You'll see the payment amount due and can choose the date the money will be withdrawn. The state charges no fee for this service. You'll receive a confirmation number immediately, which serves as your receipt.
If you prefer to mail a payment, write a check payable to "Maryland Department of Revenue," include your Social Security number on the check, and mail it with your tax return to the address shown in the return instructions. Mail payments take longer to process and offer no confirmation until the state deposits the check.
Making estimated quarterly payments if you're self-employed
If you're self-employed or have income that isn't subject to withholding, Maryland requires you to make estimated tax payments four times per year. These payments are due on April 15, June 15, September 15, and January 15 of the following year. Missing a payment or paying too little can result in penalties and interest charges.
To calculate what you owe each quarter, estimate your total income for the year, subtract deductions, and divide by four. If your income varies, you can pay more in quarters when you earn more and less in quarters when you earn less. You can make estimated payments online through the Maryland Department of Revenue portal using the same method as regular tax payments, or by mail.
If you underpay your estimated taxes, the state will charge interest on the shortfall when you file your return. If you overpay, you'll receive a refund or can request that the overpayment be applied to next year's taxes.
Adjusting payroll withholding to avoid owing money
If you receive a paycheck from an employer, your employer withholds Maryland state income tax based on the W-4 form you completed when you were hired. The amount withheld depends on your filing status, the number of dependents you claim, and any additional withholding you request. If you consistently owe money at tax time, you can adjust your withholding to have more tax taken from each paycheck.
To change your withholding, complete a new W-4 form and give it to your employer's payroll department. You can request additional withholding by a specific dollar amount per paycheck, which reduces the risk of owing a large bill when you file. The Maryland Department of Revenue also provides a withholding calculator on its website to help you determine the right amount.
Adjusting your withholding is the easiest way to stay current with your tax obligations throughout the year. It's especially useful if you have multiple jobs, a spouse who works, or income from sources other than wages.
Payment methods and processing times
| Payment Method | How to Use It | Processing Time | Confirmation |
|---|---|---|---|
| Online through Maryland Department of Revenue portal | Enter your tax ID, link your bank account, and authorize a withdrawal | 1 to 3 business days | Confirmation number issued immediately |
| Mail a check with your return | Write check to Maryland Department of Revenue, include your Social Security number, mail with tax form | 2 to 4 weeks | No confirmation until check clears |
| Payroll withholding | Complete W-4 form with your employer; tax is withheld from each paycheck | Ongoing throughout the year | Shown on your pay stub |
| Estimated quarterly payments online | Use Maryland Department of Revenue portal on the due date for each quarter | 1 to 3 business days | Confirmation number issued immediately |
What happens if you pay late or underpay
Maryland charges interest on unpaid taxes starting from the original due date, even if you file your return on time. The interest rate changes quarterly and is based on the federal rate plus a state addition. If you underpay your estimated taxes or withholding, you'll owe interest on the shortfall.
The state also imposes penalties for late payment. If you pay after the due date, you'll face a penalty of 5 percent of the unpaid tax for the first month late, plus an additional 5 percent for each additional month, up to a maximum of 25 percent. If you fail to file your return entirely, the penalty is steeper.
If you can't pay the full amount by the due date, it's still worth paying what you can. Partial payments reduce the amount subject to interest and penalties. You can also contact the Maryland Department of Revenue to discuss a payment plan if you owe a large amount.
Frequently Asked Questions
Can I pay my Maryland taxes with a credit card?
The Maryland Department of Revenue does not accept credit card payments directly through their portal. However, some third-party payment processors may accept credit cards for a fee. Check the state's website for current options. Paying by bank account withdrawal through the official portal is free and the fastest method.
What if I file my return but don't pay by the due date?
You'll owe interest on the unpaid amount starting from the original due date. A late-payment penalty of 5 percent will be added for the first month, plus an additional 5 percent for each month after that. Paying as soon as possible reduces the total amount you'll owe in interest and penalties.
Do I need to make estimated payments if I'm retired?
If your only income is Social Security or a pension that doesn't have withholding, you generally don't need to make estimated payments. However, if you have other income—such as from a part-time job, rental property, or investments—you may need to make estimated payments on that income. Check your specific situation with the Maryland Department of Revenue.
How do I know if my employer is withholding the right amount?
Review your pay stub each month to see how much Maryland tax is being withheld. If you consistently get a large refund, your employer is withholding too much. If you owe money at tax time, your employer is withholding too little. Use the Maryland Department of Revenue's withholding calculator or complete a new W-4 to adjust.
Can I set up automatic payments for estimated taxes?
The Maryland Department of Revenue portal allows you to schedule payments in advance, but you must log in and authorize each payment. The state does not offer automatic recurring payments that deduct money without your approval each quarter. You can set calendar reminders for the four due dates to help you remember.