Tax Guidance - Sales and Use Tax

Audience: Businesses

Get Sales and Use Tax Information for consumers in the business section.

File it! To file or pay your taxes, visit the Maryland Tax Connect portal, use an independent software provider, or a professional tax preparer.

Get a refund! Complete and submit the Sales and Use Tax Refund (form SUT205), or the Purchases for Refund (form SUT212) to receive your refund quickly and hassle free.

Get help! For additional assistance, review the Frequently Asked Questions about Sales and Use Tax.

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Temporary Sales & Use Licenses

Individuals who do not have a permanent sales and use tax license are required to obtain a temporary license and collect a 6 percent or 9 percent sales and use tax for sales at various events, such as craft shows and fairs. The temporary license is valid for 30 days.

The following information is required for a temporary license to be issued by the Comptroller’s Office:

Event Date
Event Name
Event Location
Legal Name of Business/Individual
Trade Name (if applicable)
Federal Identification Number or Social Security Number for Sole Proprietorships
Business Mailing Address (Including Street, City, State, and Zip Code)
Email Address
Phone Number

To request a temporary license please provide the required information outlined above via email to Templicense@marylandtaxes.gov. You may also call our office at 410-767-1543 or 410-767-5462 to obtain a temporary license for your one-time event.

If you participate in three or more events each year, please register for a permanent sales and use tax license. A permanent sales and use tax license can be obtained through the Maryland Tax Connect portal. Please visit www.mdtaxconnect.gov and select “Register a Business in Maryland-Combined Registration Application” from the “Quick Links” options on the Maryland Tax Connect homepage.

Tax Rates

Effective January 3, 2008, the Maryland sales and use tax rate is 6 percent, as follows:

1 cent on each sale where the taxable price is 20 cents.
2 cents if the taxable price is at least 21 cents but less than 34 cents.
3 cents if the taxable price is at least 34 cents but less than 51 cents.
4 cents if the taxable price is at least 51 cents but less that 67 cents.
5 cents if the taxable price is at least 67 cents but less than 84 cents.
6 cents if the taxable price is at least 84 cents.

On each sale where the taxable price exceeds $1.00, the tax is 6 cents on each exact dollar, plus:

1 cent if the excess over an exact dollar is at least 1 cent but less than 17 cents.
2 cents if the excess over an exact dollar is at least 17 cents but less than 34 cents.
3 cents if the excess over an exact dollar is at least 34 cents but less than 51 cents.
4 cents if the excess over an exact dollar is at least 51 cents but less than 67 cents.
5 cents if the excess over an exact dollar is at least 67 cents but less than 84 cents.
6 cents if the excess over an exact dollar is at least 84 cents.

Download our sales and use tax rate chart (PDF).

Sales & Use Tax Regulations

The Code of Maryland Regulations (COMAR) are maintained by the Division of State Documents (DSD) under the Office of the Secretary of State and can be accessed through the DSD Web site. To view the regulations, please visit COMAR Online.

Credit for Sales Tax Paid

Maryland grants a credit for sales tax paid to another state, up to the amount of Maryland's 6 percent sales and use tax liability on goods and the 9% sales and use tax liability on alcoholic beverages. For example, if you paid a 4 percent sales tax to another state, you would be liable only for the difference of 2 percent for Maryland tax purposes.

To claim the credit for taxes paid, complete the Consumer Use Tax Return, enter the credit amount on line 4 of both coupons A and B and mail the return to:

Revenue Administration Division
110 Carroll Street
Annapolis, MD 21411

Sales and Use Tax

Quick Links

Temporary Sales & Use Licenses

Tax Rates

Sales & Use Tax Regulations

Credit for Sales Tax Paid

Important Links