When is the Maryland PTET election deadline?

Election made with the first PTE filing or payment for the tax year (Form 510D estimated payment or Form 511 return); election is IRREVOCABLE for that tax year once made. Two election options: (1) pay at entity level on ALL members' shares; or (2) pay only on nonresident members' shares (mandatory baseline).

What is the Maryland PTET rate?

Graduated rates apply; see the picker.

Is the Maryland owner credit refundable?

Maryland's PTET owner credit is refundable.

Does Maryland PTET affect composite-return filing?

Stacks. See the composite-vs-PTET page for the full matrix.

Maryland · MD

Maryland Pass-Through Entity Tax (PTET)

Maryland's PTET regime is one of the 37+ state workarounds to the federal SALT cap (IRC §164(b)(6)). The election is annual, statute-pinned below, and interacts with composite filing and §199A QBI in state-specific ways.

Statute: Md. Code Tax-Gen. § 10-102.1(b) (PTE Tax Election)
State DOR portal: https://interactive.marylandtaxes.gov/faq/pte.php
Election deadline: Election made with the first PTE filing or payment for the tax year (Form 510D estimated payment or Form 511 return); election is IRREVOCABLE for that tax year once made.
Election form: Form 511 (Electing PTE Income Tax Return); Form 510 (PTE Information Return for non-electing); Form 510/511D (Declaration of Estimated Tax)
Entity-level rate: [PLACEHOLDER: state DOR cite] — MD applies the top MD individual rate to resident members (8% incl. county-equivalent surcharge per MD Form 511); for nonresident members the rate is 8% (top individual + 2.25% nonresident PTE surcharge). Verify precise current rates from 2025 PTE-Booklet-511.pdf.
Eligible entities: s-corp, partnership, llc-as-s, llc-as-partnership
Owner credit: refundable
Composite interaction: stacks
§199A QBI base reduction: Yes — Reduces federal flow-through income (Notice 2020-75).
Last verified: 2026-05-11

Source: interactive.marylandtaxes.gov/faq/pte.php + TB-IT6 + 2023 PTE-Booklet-511.pdf. MD was the 2nd state to enact PTET (2020). 'Election' on PTE-NR-only path is technically a non-election.

IRC §164(b)(6)Notice 2020-75 IRC §199A

Election walkthrough

Verify eligibility. Maryland accepts: s-corp, partnership, llc-as-s, llc-as-partnership.
Check the deadline. Election made with the first PTE filing or payment for the tax year (Form 510D estimated payment or Form 511 return); election is IRREVOCABLE for that tax year once made. Two election options: (1) pay at entity level on ALL members' shares; or (2) pay only on nonresident members' shares (mandatory baseline).
Compute the entity-level tax. Apply the 0.00% rate to qualified net income.
Pay and file. Use Form 511 (Electing PTE Income Tax Return); Form 510 (PTE Information Return for non-electing); Form 510/511D (Declaration of Estimated Tax). Quarterly estimates may be required.
Owners claim the state credit. refundable credit on the personal state return.
Verify composite interaction. Composite interaction: stacks. See composite vs PTET.
Run the federal §199A QBI math. PTET reduces the QBI base proportionally; net the federal SALT-arbitrage against the §199A offset.

Maryland PTET — common questions

Annual deadline reminder

State PTET law revises annually. Maryland's data was last verified on 2026-05-11. Re-confirm with the state DOR primary source before electing or filing. Last full-site review: 2026-05-12.