Maryland recently released its 2025 Employer Withholding Guide. Changes have been made to reflect the transition to Maryland’s new portal, Maryland Tax Connect (MTC). References to MTC have replaced references to bFile throughout. Three options for filing MW-508 and W-2/1099 through MTC have been added to the guide: Bulk Filer, Transmitter User, or manual key in. MTC may now be used to make corrections to W-2 (W-2C). A new email address has been added for information about filing through MTC: efilew21099help@marylandtaxes.gov .
Withholding figures have also been updated throughout the guide. Notably, the standard deduction limit for the percentage method calculation increased to $2,800. The Anne Arundel Co. tax rate increased to .0294 for single, married filing separately and dependent taxpayers making $50,001 to $400,000. The Anne Arundel Co. tax rate also increased to .0294 for married filing jointly, head of household, and qualified surviving spouse taxpayers making $75,001 to $480,000. The tax rates for Frederick Co. were updated to reflect that they apply to taxable net income.
Maryland’s 2025 Employer Withholding Guide can be found here.
