Q What kind of taxes do Marylanders face that the rest of the nation doesn?t?
A “One thing that I have found in my 25 years of practice to be a bit unique with Maryland is the county piggyback tax,” said Gene Utterback, an enrolled agent, registered financial consultant, accredited business accountant and member of Maryland Society of Accountants.
Utterback said Maryland is the only state in this region that has a county tax on top of the state tax.
“There are states that have state and local taxes, and states that require you to pay tax to the county or city that you live in and work in ? resulting in multiple taxation for the same income,” Utterback said.
But most of these use separate tax forms to assess the tax.
Utterback said the “real tricky part” comes when an employer?s payroll department is outside Maryland.
“The vast majority of non-Maryland-based businesses aren?t aware of the extra county tax, and consequently don?t withhold for it, leaving Marylanders short,” Utterback said.
