Property tax, income tax, sales tax, and retirement-income treatment in Maryland. Quick read for movers, retirees, and remote workers.
Property tax
Maryland’s effective property tax rate is approximately 1.05% of assessed home value per year. On a $350,000 home that’s about $3,675/yr. Rates vary by county and municipality — this is a state-wide average.
Income tax
Top marginal rate: 5.75%. Brackets vary by income. For wage earners, the effective rate depends on filing status, deductions, and credits.
Sales tax
State base rate: 6.00%. Local municipal and county additions can raise the combined rate by 1-4 percentage points.
Retirement income
Social Security: Not taxed by state. Pensions & 401(k) withdrawals: Partial exclusion / credit available.
Top cities in Maryland
Baltimore · pop 568,271 · momentum 54
Frederick · pop 89,537 · momentum 66
Gaithersburg · pop 70,686 · momentum 54
Rockville · pop 68,417 · momentum 55
Bowie · pop 58,421 · momentum 60
Hagerstown · pop 43,909 · momentum 67
Compare to other states: All 50 state tax overviews · All Maryland cities · Best Maryland cities for retirees
Sources: Tax Foundation effective property tax rankings, state DOR publications, AARP retirement tax guide. 2024/2025 representative figures — verify with a CPA for your specific situation.