Maryland Comptroller Increases 2025 Pass-Through Entity Tax Rate

The Maryland Comptroller has published the 2025 Form 510 Pass-Through Entity Income Tax Return Instructions for partnerships, S corporations, limited liability companies, and business trusts filing in Maryland. The highest state income tax rate has increased to 6.50 percent for the tax year 2025, affecting the tax rate paid by pass-through entities on behalf of their members. This tax rate change is effective for the 2025 tax year, and the Comptroller will waive interest or penalties on underpaid estimated income taxes for calendar year 2025 if the underpayment results from the liability created by these tax rate changes. [Md. Comptroller ...