As one of the oldest states in the Union, Maryland also enjoys the honor of being one of the wealthiest. Maryland taxes are known to consist of four income tax brackets that start at 2% and go on up to 4.75%. As one of the last states to do so, Maryland also levies what is called a piggyback tax at local levels. These rates start at 1.25% and go on up to 3.2%. These revenues help support a state where commerce plays a large part of the economy. Among other things, Maryland taxes help keep their busy ports clean and functional to further promote the commerce that keeps the state running.
The sales tax is held at 5% and, interestingly, Maryland taxes property at no specified rate. Instead, the rates are adjusted to help provide the necessary revenues from one city or county to another. The adjustments are made annually and disclosed via public announcement where the new tax rates can be discussed. Taxes are assessed on both land and land improvements. The market value of a property is appraised and then taxed on its assessed value. Expanding businesses can receive credits on improvements for their properties. Those properties owned or used by churches or other non-profit organizations are exempt from Maryland taxes.