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After you start a Maryland LLC, you must pay the Annual Report and Taxes each year.
Download or File Online
You can file your Maryland LLC Annual Report and Personal Property Tax Return either online or by mail:
To file online: visit the Business Express page
To file by mail: download forms and instructions
Do I need to file both forms?
All Maryland LLCs must file an Annual Report.
Your Maryland LLC must file a Personal Property Tax Return if either of the following are true:
- The LLC owns, uses, or leases personal property located in Maryland
- The LLC has a trader’s license with a local unit of government in Maryland
Filing Fee
$300 is the Annual Report fee.
You may owe more, depending on your LLC’s Personal Property Tax Return.
Due Date
The Annual Report is due by April 15th every year.
Your LLC’s first Annual Report is due the year after your LLC is approved.
For example, if your LLC is approved anytime in 2023, your first Annual Report is due by April 15, 2024. If your LLC is approved anytime in 2024, your first Annual Report is due by April 15, 2025.
Questions
If you have any questions about the Maryland LLC Annual Report and/or Personal Property Tax Return, you can contact the Business Personal Property unit.
References
Maryland SDAT: Departmental Forms & Applications
(see “Annual Reports and Personal Property Tax Returns“, about half way down the page)
Matt holds a Bachelor's Degree in business from Drexel University with a concentration in business law. He performs extensive research and analysis to convert state laws into simple instructions anyone can follow to form their LLC - all for free! Read more about Matt Horwitz and LLC University.
Maryland LLC Guide
Looking for an overview? See Maryland LLC
Hello,
I’d like to close/cancel my LLC this month (3/2023), but I can’t figure out if I’m still required to submit an annual report and personal property return for the 2022 tax year -due this year by April 15-since my business was active last year. If I submit the articles of cancellation before April 15, will I still end up having to pay the $300 to file the annual report& personal property return for a cancelled LLC? Any help is greatly appreciated. Thanks so much!
Hi Fulana, because this is a tax filing, we recommend speaking to an accountant. But generally, yes, you’ll still have to file this year, since you’re reporting for last year’s activities. And you may need to file again next year to report for the 2023 tax year.
Thanks!
Hi Matt,
I formed my LLC and cpl years later elected an S-corp… Regarding annual report form, there is a part says ”Date of Incorporation/Formation ” and I always filled the Maryland annual report form with the LLC formated date, not the S-corp effective date.! Which date on the annual report of Maryland form should I write ? actual LLC formation date or S-corp effective date? so In the state am I still the LLC or S-corp? This is my confusion.
Hi Asli, it would be the date your LLC was approved.
Well done! You are helping people gain more knowledge to be confident to start their own business, Thank you!
Thank you Nica! And you’re very welcome :)
We formed an LLC without knowing all the tax ramifications. We spent over $4k in 2016 researching, testing and creating our products. We made a profit of $256. This will take years to building up to any real money. The $300 Maryland Personal Property Return Report fee isn’t something we can afford. I think we should desolve the llc. What happens when we don’t pay and they desolve the llc. Is there a penalty that will cost more than the $300?
Hi Deb, if you’d like to shut down the LLC, do not let the LLC just “sit”. The Maryland Department of Assessments & Taxation will not administratively dissolve the LLC (like most other states), but instead, your Maryland LLC falls into “forfeiture status” and continues to accrue annual fees, late fees, and penalties. The best course of action is to file the Articles of Cancellation (http://www.dat.maryland.gov/SDAT%20Forms/llc-cancel.PDF) and pay the $100 cancellation fee. This will cancel and shut down your LLC. You can only file this by mail (online filing is not available). Once you mail in your Articles of Cancellation and the $100 cancellation fee, the state will process your cancellation and mail you back a confirmation within 4-6 weeks. Alternatively, if needed, you can expedite the cancellation for an additional $50 ($150 total) and the cancellation will be processed and confirmation returned to you within 7-10 business days. Hope this is helpful. Let us know if you have any followup questions.
I have a similar question to this one from 2017. I no longer want to have my LLC. I forgot to file the annual report in 2021, so when I went on line to ‘dissolve’ the LLC they list me as ‘forfeited’ and ‘not in good standing.’ I see language on the md.gov web site that “Businesses that have not filed articles of Dissolution, Application for Termination, a Certificate of Cancellation, or Withdrawal Notice are legally active until they do so, … or their authority to do business is forfeited (…LLCs…). Since they have labeled me ‘forfeited’, that means I am not ‘legally active, ‘ so does that mean I have no further legal liability if I don’t file any paperwork or pay any fees? I just want to make sure I know what will happen if I do nothing. Thanks in advance for your helpful response! Mary
Hi Mary, no, not “legally active” doesn’t mean you have no further liability. I would contact the Maryland SDAT for the details. It’s been a while since I’ve looked into what would happen, and don’t have it top of mind. Thank you for your understanding.
I found this series of lessons very informative.
Thank you Matt!
Awesome! I’m glad it was helpful Rick. Let us know if you need anything else :)