Businesses in Baltimore City can use our payroll tax software to automatically calculate Baltimore City Tax and Maryland state withholding. The software gives users everything they need to prepare Baltimore payroll and print payroll checks. A free demo of the software can be downloaded by visiting the Maryland payroll software page.
Effective January 1st, 2011 the Baltimore city income tax rate will increase to be 3.2%, the old rate was 3.05%. This rate change will be automatically reflected in the payroll withholding tables that ship with our payroll software.
Below is a list of the Maryland local income tax rates for tax year 2010: