MD

Maryland LLC Fees, Annual Report & Penalties (2026)

Formation, deadlines & compliance for Maryland LLCs

Maryland LLCs are formed through the State Department of Assessments and Taxation (SDAT). The state charges a $100 formation fee and requires an Annual Report (called the Annual Report/Personal Property Return) filed by April 15 each year. Maryland does not impose a franchise tax on LLCs, but members may owe Maryland income tax on their share of LLC income.

DR
Daniel Reyes, CPA
CPA · Small Business Compliance Specialist
Last updated:
$100
Formation Fee
$300
Annual Report
$100
Foreign LLC Fee
No
Franchise Tax

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1Maryland LLC Formation

To form an LLC in Maryland, you'll need to file Articles of Organization with the Maryland Secretary of State.

Formation Details

  • Filing Fee: $100
  • Processing Time: Online: 7-10 business days; Expedited same-day available for additional fee
  • Official Website: https://dat.maryland.gov

2Annual Report Requirements

Maryland requires LLCs to file a annual report to maintain good standing with the state.

Annual Report Details

  • Filing Fee: $300
  • Due Date: April 15 each year
  • Frequency: Annually

Comparing deadlines across states? See every state's annual (or biennial) report due date, fee, and late penalty in one place on our annual report deadlines hub.

3Registered Agent Requirements

Maryland requires all LLCs to maintain a registered agent.

Can You Be Your Own Registered Agent?

Yes, you can serve as your own registered agent in Maryland.

Requirements: Must be a Maryland citizen who resides in Maryland and is at least 18, or an active Maryland corporation or Maryland LLC, with a physical Maryland street address (no PO Box). An out-of-state entity merely authorized to do business in Maryland does not qualify on its own, and the LLC cannot serve as its own agent. Must be available during regular business hours to accept service of process.

4Foreign LLC Registration

If your LLC was formed in another state but you want to do business in Maryland, you'll need to register as a foreign LLC.

Foreign LLC Registration

  • Registration Fee: $100
  • Requirements: Registration as a Foreign LLC with SDAT, certificate of good standing from home state, and a Maryland registered agent with a physical Maryland address.

5Maryland LLC Taxes

Maryland has a state income tax with rates ranging from 2% to 6.5% (new 6.25%/6.5% top brackets effective the 2025 tax year, plus a 2% capital gains surtax for filers with federal AGI over $350,000). LLCs taxed as pass-through entities are not taxed at the entity level, but members pay Maryland income tax on their share of LLC income. Maryland also imposes county income taxes (ranging from 2.25% to 3.30%, with Kent and Dorchester at 3.30%) on top of state income tax.

6Penalties for Non-Compliance

Late Filing Penalties

Graduated penalty: one-tenth of one percent (0.1%) of the entity's assessed Maryland property value, plus 2% interest on that penalty for each 30 days the Annual Report is overdue — not a flat $100.

Administrative Dissolution Risk

Failure to file the Annual Report can result in forfeiture of the LLC's good standing and eventual administrative dissolution. Reinstatement requires filing all overdue reports and paying penalties.

Key Considerations for Maryland LLCs

  • $100 formation fee — moderate and competitive
  • Annual Report (Personal Property Return) due April 15 — $300 filing fee
  • No franchise tax on LLCs
  • Members pay Maryland state income tax (up to 6.5%) plus county income tax (2.25%–3.30%)
  • Registered agent must have a physical Maryland address
  • Online filing through Maryland SDAT Business Express portal

Important Disclaimer

This article is for informational purposes only and does not constitute legal advice. LLC requirements, fees, and deadlines change frequently. Always verify current requirements with your state's Secretary of State office before making business decisions.

Maryland LLC Compliance Guides

Maryland LLC Taxes & Fees 2026

Formation cost, state/franchise tax, and the yearly fees a Maryland LLC owes.

Maryland LLC Annual Report & Compliance

Deadlines, fees, and filing steps to keep your Maryland LLC in good standing.

Maryland Registered Agent Requirements

Who can serve, the physical-address rule, and what a Maryland agent costs.

Can I Be My Own Registered Agent in Maryland?

The rules — and trade-offs — for acting as your own Maryland registered agent.

Maryland LLC Late Filing Penalties

What you owe — and how to fix it — if you file a Maryland report late.

Maryland Foreign LLC Registration

How to register an out-of-state LLC to legally do business in Maryland.

Official Resources

For the most up-to-date information, always check the official Maryland Secretary of State website:

https://dat.maryland.gov