taxes in maryland

[carroll4628]

Are you relocating alone or do you have a family. If you have a family and like the library, state parks, community parks/rec department or need services for a disabled child/adult, then you couldn't find a better place than Howard County. If it's just you and you don't take advantage of the programs the county/state have to offer, then yes, you will be paying for others to use of those things.

[trickymost]

They don't call it the People's Republic of Maryland for no reason.

We are giving Taxachusettes a run for its money, no pun intended. Everywhere you look, costs are going up. I went to renew my registration on my car - it was $200. That's a lot. I'm pretty sure the last time I did so 2 years ago it was $125. You'll find these sorts of fee increases everywhere.

I've even heard Maryland is looking to pilot a program where they allocate how much garbage each household is allowed before you have to start paying for overages.

Income tax is going to go up again. It will not rise at the state level, but it will rise at the county level since many costs were just pushed from the state to counties and that $ will need to come from somewhere.

Property tax is the obvious place they'll poach citizens, since you can't just up and sell your house just b/c your taxes went up.

The only solution if you like the area is to live in Virginia, but any savings you get in taxes/fees/utilities will go right int your rent or mortgage payment, so it's net neutral.

You're best off just biting the bullet and making sure you put as much of your salary into places the government can't touch which aren't taxed - HSA savings plans, IRA, 401k and just accept the cost of living as the price you pay to be where jobs are plentiful.

[EdwardA]

Maryland has a "progressive" system of taxation, it is what it is you either join them or leave them.

[North Beach Person]

Originally Posted by trickymost

They don't call it the People's Republic of Maryland for no reason.

We are giving Taxachusettes a run for its money, no pun intended. Everywhere you look, costs are going up. I went to renew my registration on my car - it was $200. That's a lot. I'm pretty sure the last time I did so 2 years ago it was $125. You'll find these sorts of fee increases everywhere.

I've even heard Maryland is looking to pilot a program where they allocate how much garbage each household is allowed before you have to start paying for overages.

Income tax is going to go up again. It will not rise at the state level, but it will rise at the county level since many costs were just pushed from the state to counties and that $ will need to come from somewhere.

Property tax is the obvious place they'll poach citizens, since you can't just up and sell your house just b/c your taxes went up.

The only solution if you like the area is to live in Virginia, but any savings you get in taxes/fees/utilities will go right int your rent or mortgage payment, so it's net neutral.

You're best off just biting the bullet and making sure you put as much of your salary into places the government can't touch which aren't taxed - HSA savings plans, IRA, 401k and just accept the cost of living as the price you pay to be where jobs are plentiful.

First bold: Unless you have personalized plates the fees shouldn't have gone up. The fee for personlized went up to $50 last year.

Second bold: Not exactly. The State's income tax rates are going up which will automatically increase what you owe in County income tax, too.

Third bold: Again, not exactly. Most jurisdictions have been able to hold their property tax rates steady because of the way the Constant Yield Rate is calculated. The real impact will come next year when you've had 3 years of reassessments after the crash. Also keep in mind that all jurisdictions have the Homestead Exemption for owner-occupied properties which limits property tax increases to 10%/year (lower in some jurisdictions).

You're correct about fees, though. You ain't seen nuthin' yet until the bill for the unfunded EPA mandate for Enhanced Nitrogen Removal for sewage treatment kicks in. Likely a minimum doubling of sewer bills with tripling or even quadrupling possible. Increases in boat licenses, hunting and fishing licenses are coming 7/1.

[LoveToRow]

Maryland is a one party state and that party uses taxes to pay off its constituencies. Taxes have been increased repeatedly over the past 6 years and they will continue to go up because the Democrats will continue to be re-elected by the very clueless electorate here.

My advice to you is to find a job somewhere else.

[trickymost]

Originally Posted by North Beach Person

First bold: Unless you have personalized plates the fees shouldn't have gone up. The fee for personlized went up to $50 last year.

Second bold: Not exactly. The State's income tax rates are going up which will automatically increase what you owe in County income tax, too.

Third bold: Again, not exactly. Most jurisdictions have been able to hold their property tax rates steady because of the way the Constant Yield Rate is calculated. The real impact will come next year when you've had 3 years of reassessments after the crash. Also keep in mind that all jurisdictions have the Homestead Exemption for owner-occupied properties which limits property tax increases to 10%/year (lower in some jurisdictions).

You're correct about fees, though. You ain't seen nuthin' yet until the bill for the unfunded EPA mandate for Enhanced Nitrogen Removal for sewage treatment kicks in. Likely a minimum doubling of sewer bills with tripling or even quadrupling possible. Increases in boat licenses, hunting and fishing licenses are coming 7/1.

Yes, you're correct about income tax. What I meant to say is the state won't raise income taxes again this year or next year, but the counties will raise them. If you're earning over 100k, which is quite common in MD, you just got it from the state and you'll get it from the county soon.

The Homestead Exemption is a joke. When they re-assessed my last home in 2010, there was no 3 year phase in; it had phased in between 08-10 from 375k to 435k, and when they re-assessed it was a flat 360k for 2010, 2011, and 2012. So they avoided allowing the exemption by giving me a 'break'.

There is really nowhere to run to avoid it. You pay a premium one way or another living between DC metro and Boston metro. It's either home prices, property taxes, income taxes, high insurance, commuting/locality taxes, fees on everything, whatever.

The only way to stick it to the man is to put away as much of your earnings in places where it can't be taxed now or ever.

[North Beach Person]

Did you just buy your house in 07-08? If so, that's why Homestead didn't kick in, you have to own the house a year before you get it. Mrs. NBP and I have owned our house for 25 years and the assessable base (what we're taxed on) is way below the state's assessment.

The Counties won't have to raise their piggyback income tax. The increase in the MD rates will automatically increase the cut for Counties. If you live in an incorporated municipality it gets a slice of that.

[Richard Martin]

Originally Posted by trickymost

The Homestead Exemption is a joke. When they re-assessed my last home in 2010, there was no 3 year phase in; it had phased in between 08-10 from 375k to 435k, and when they re-assessed it was a flat 360k for 2010, 2011, and 2012. So they avoided allowing the exemption by giving me a 'break'.

Would you rather they have phased in the decrease in assessment? What you're describing is an assessment that fell from 435k to 360k overnight. Would you rather they did 410k for 2010, 390k for 2011 and 360k for 1012? Did your taxes actually decrease or did the property tax cap of 10% in MD do it's job and keep increasing the amount of property tax you pay each year?

The property tax cap, especially the 4% in AA Co. is one of the reasons we left Maryland. We knew that regardless of what the assessment actually was, the way property taxes are done in MD, guaranteed that our property taxes would go up every year. We had a mortgage and the property tax escrow was more than the mortgage payment it's self. We would have always had a payment every month even after the mortgage was paid off. We would be paying over $400 a month right now just to pay the property taxes.