Bill > SB766

This bill: - Alters the unified credit used to determine the Maryland estate tax for decedents dying on or after January 1, 2025, reducing the exclusion amount from $5 million to $2 million (plus any deceased spousal unused exclusion amount). - Requires certain sales of tangible personal property to be included in the sales factor for apportioning a corporation's income to Maryland under certain circumstances. - Increases the Maryland income tax rate for individuals with taxable income over $500,000 (or $600,000 for joint filers), up to a top rate of 7% on income over $1 million (or $1.2 million for joint filers). - Provides a refundable tax credit of up to $750 per child under age 6 and $500 per child ages 6-17 for low-to-moderate income Maryland residents, subject to a phase-out. - Requires combined reporting for corporations engaged in a unitary business, meaning they must file a single tax return that includes the income and apportionment factors of all members of the combined group. - Imposes a new 8.25% tax on the distributive share of income over $1 million received by members of pass-through entities like S corporations and partnerships.

Budget and Finance

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0766?ys=2024RS