Maryland income tax, withholding changes reviewed
Heads up, tax pros: You'll want to pay attention to this one.
MACPA member Chris Kolb, a manager with the Taxpayer Media and Education Section of the Maryland Comptroller's Revenue Administration Division, has forwarded a couple of publications from the Comptroller's Office:
The publications offer details about provisions in Senate Bill 1302, which was passed during the May 2012 special session of Maryland's General Assembly and brought major changes to the state's income tax law. The publications outline the following:
- Maryland's new income tax rate brackets.
- Changes in exemption amounts.
- New withholdings on gambling winnings.
- A change in the tax rate for non-resident property sales in Maryland.
- Additional safe harbor for the calculation of underpayment of estimated 2012 income tax.
"As of June 1, 2012, we have updated the Maryland Employer Withholding Tax Guide, as well as the following 2012 income tax forms: Forms 502D, 504D, 510D, and MW507," Kolb reports. "These four forms replace previously issued versions. Our 2012 estimated tax and withholding calculators have also been updated.
"While the effective date of the changes referenced in these two alerts is Jan. 1, 2012, the changes made are all prospective," he adds.
You'll find more details in the Income Tax Withholding section of the Maryland Comptroller's website.