Get Mw504

The Maryland Form MW 507, Employee's Maryland Withholding Exemption Certificate, must be completed so that you know how much state income tax to withhold from your new employee's wages.

For employees, withholding is the amount of federal income tax withheld from your paycheck. The amount of income tax your employer withholds from your regular pay depends on two things: The amount you earn. The information you give your employer on Form W–4.

Maryland has a progressive income tax system with rates that range from 2.00% to 5.75%. That top rate is slightly below the U.S. average.

Maryland Form MW507 is the state's Withholding Exemption Certificate and must be completed by all residents or employees in Maryland so your employer can withhold the correct amount from your wages.

For 2023, we will use thirteen brackets: 2.25%, 2.40%, 2.65%, 2.70%, 2.75%, 2.81%, 2.96%, 3.00%, 3.03%, 3.05%, 3.06%, 3.10%, and 3.20%.

2022 Maryland Income Tax Rates Taxpayers Filing as Single, Married Filing Separately, Dependent Taxpayers or FiduciariesTaxpayers Filing Joint Returns, Head of Household, or Qualifying Widows/Widowers$0 - $1,0002.00%2.00%$1,000 - $2,000$20 plus 3.00% of the excess over $1,000$20 plus 3.00% of the excess over $1,0007 more rows

For 2023, we will use thirteen brackets: 2.25%, 2.40%, 2.65%, 2.70%, 2.75%, 2.81%, 2.96%, 3.00%, 3.03%, 3.05%, 3.06%, 3.10%, and 3.20%.

The 7.75 percent tax must be paid to the Comptroller of Maryland with Form MW506 (Employer's Return of Income Tax Withheld). If the payor of the distribution is not currently registered with the Comptroller and has not established a withholding account, the payor can register online.