Md. Code Ann., Tax-Gen. § 10-908
Amounts withheld from wages, distributions, and death benefits
Effective Jan 1, 2008Added by Acts 1988, c. 2, § 1, eff. Jan. 1, 1989. Amended by Acts 1989, c. 590, § 3; Acts 1991, c. 86; Acts 1993, c. 243; Acts 1994, c. 137, § 1, eff. July 1, 1994; Acts 1994, c. 468, § 1, eff. Oct. 1, 1994; Acts 1997, c. 4, § 1, eff. July 1, 1997; Acts 1999, c. 493, § 1, eff. May 13, 1999; Acts 2005, c. 444, § 3, eff. July 1, 2005; Acts 2007, c. 433, § 1, eff. July 1, 2007; Acts 2007, 1st Sp. Sess., c. 3, § 1, eff. Jan. 1, 2008.State of Maryland
- (a) An employer shall withhold from the wages of an individual the amount indicated in the income tax withholding tables or income tax percentage withholding schedules that the Comptroller prepares.
- (b) A payor that is a fiduciary shall withhold from each distribution the amount indicated in the income tax withholding tables or income tax percentage withholding schedules that the Comptroller prepares.
- (c) A payor shall withhold the amount from an annuity, sick pay, or retirement distribution that the payee requests.
(d) A payor shall withhold from a payment subject to withholding of winnings derived from wagering:
- (1) if the payee is a resident, a rate equal to the sum of 3.0% and the top marginal State income tax rate for individuals under § 10-105(a) of this title, applied to the payment; and
- (2) if the payee is a nonresident, a rate equal to the sum of the rate of the tax imposed under § 10-106.1 of this title and the top marginal State income tax rate for individuals under § 10-105(a) of this title, applied to the payment.
(e) The Board of Trustees of the State Retirement and Pension System shall withhold from a payment of a death benefit to a resident payee the sum of:
- (1) 4.75% of the payment; and
- (2) the county income tax rate applied to the payment.
- (f) If a payment to a resident payee is a designated distribution that is an eligible rollover distribution within the meaning of § 3405(c) of the Internal Revenue Code and the payment is subject to mandatory withholding of federal income tax, the payor shall withhold from the payment an amount equal to 7.75% of the payment.
Added by Acts 1988, c. 2, § 1, eff. Jan. 1, 1989. Amended by Acts 1989, c. 590, § 3; Acts 1991, c. 86; Acts 1993, c. 243; Acts 1994, c. 137, § 1, eff. July 1, 1994; Acts 1994, c. 468, § 1, eff. Oct. 1, 1994; Acts 1997, c. 4, § 1, eff. July 1, 1997; Acts 1999, c. 493, § 1, eff. May 13, 1999; Acts 2005, c. 444, § 3, eff. July 1, 2005; Acts 2007, c. 433, § 1, eff. July 1, 2007; Acts 2007, 1st Sp. Sess., c. 3, § 1, eff. Jan. 1, 2008.
Formerly Art. 81, § 312.