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[quote=Anonymous]Actually, MD's base income tax is slight less. However, MD hits you with a ton of other taxes, including county taxes that add up a lot. For comparison of the basic state income tax: on $100,000 income, VA would tax you [url]http://www.bankrate.com/brm/itax/edit/state/profiles/state_tax_Va.asp[/url]: [$60]-- 2 percent on the first $3,000 of taxable income [$60]-- 3 percent on taxable income between $3,001 and $5,000 [$600]-- 5 percent on taxable income between $5,001 and $17,000 [$4772.5]-- 5.75 percent on taxable income of $17,001 and above. Total $5432.50 Maryland would tax you [url]http://individuals.marylandtaxes.com/incometax/ratesbrackets.asp[/url]: [$20] 2 percent $0 - $1,000 2 percent [$30] $1,000 - $2,000 $20 plus 3 percent of the excess over $1,000 [$40] $2,000 - $3,000 $50 plus 4 percent of the excess over $2,000 [4607.50] $3,000 - $200,000 $90 plus 4.75 percent of the excess over $3,000 Total $4697.50 The cap for single, married filing separately or dependants is $150,000 for the last category. Now, when you go above $200K ($150K for singles), then the rates jump very high. So, the lower and middle classes pay less in MD than in VA, but the rich pay significantly more. And this does not include county taxes which range from 1.25%-3.20%. For our $100K example, that would be $12.50-$32 more depending on which county you live in. Still less than VA for up to $100K. The problem with taxes in MD is that there are many more of them besides just basic income tax. Many that aren't assessed in VA. Others that are more expensive than VA (such as property taxes and estate taxes). All of these add up so that the average resident pays more in taxes. However, not everyone pays all of the other taxes, so for individuals, it can vary a lot.[/quote]
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