2026 tax year · Maryland
Rental host taxes in Maryland
Airbnb, Turo and the rest report your gross and withhold nothing. The gap between that and what you are actually taxed on is your costs, in Maryland that gap is worth $2,698 in tax.
Take a driver who grossed $39,000 over 18,000 business miles. After mileage at 74.3 cents and the rest of the stack, worked through on the rental host page $10,100 comes off and $28,900 is left as taxable profit. That profit is what Maryland and the IRS charge against.
What that leaves you owing in Maryland
Maryland uses graduated 2026 income tax brackets topping out at 6.5%, across 10 brackets, on top of federal income tax and self-employment tax.
| Self-employment tax | $4,083 |
| Federal income tax | $861 |
| Maryland income tax | $1,223 |
| Total tax | $6,167 |
| Effective rate on gross | 15.8% |
Earning more in Maryland
A single filer taking the standard deduction, this work as the only income, the calculator above handles the other filing statuses. Miles rise with earnings, so the deduction rises too, and the effective rate on gross climbs more slowly than it would for someone whose income grew without expenses attached:
| Volume | Gross | Mileage off | Taxable profit | Maryland tax | Total tax | Rate on gross |
|---|---|---|---|---|---|---|
| Part-time | $13,000 | $0 | $13,000 | $521 | $2,358 | 18.1% |
| Steady side income | $39,000 | $0 | $39,000 | $1,669 | $8,866 | 22.7% |
| Full-time | $63,000 | $0 | $63,000 | $2,729 | $15,457 | 24.5% |
Switching state opens that state's page.
Enter your numbers and press Calculate to see your 2026 estimate.
Maryland specifics that change the number
On the 2026 rate itself: new 6.25% and 6.5% high-income brackets added in 2025 BRF Act, effective retroactively.
Maryland's standard deduction is a percentage of adjusted gross income with a floor and a cap, which this calculator cannot express, so it is not applied. Maryland tax shown here is computed on full income and is therefore slightly overstated.
Maryland also has local income tax that the estimate above does not model, all counties require local tax filing (2.25% to 3.20% depending on county). Add it separately for where you live and work.
Local taxes on a Maryland let
The income tax below is only part of it. Short-term lets attract occupancy, lodging or transient taxes levied by the city or county rather than Maryland, often at rates that dwarf the state income tax. Some platforms collect and remit them; some collect only part; in some places the host is on the hook entirely. That is a local question this calculator cannot answer, and it is the one hosts most often get wrong.
On $28,900 of profit, what the states around Maryland would charge:
| State | Its tax | vs Maryland |
|---|---|---|
| West Virginia | $756 | −$565 |
| Pennsylvania | $887 | −$433 |
| Delaware | $1,216 | −$105 |
| Virginia | $1,404 | +$84 |
| Washington DC | $1,534 | +$214 |
- West Virginia would take $565 less, $756 against Maryland's $1,320.
- Pennsylvania would take $433 less, $887 against Maryland's $1,320.
- Delaware would take $105 less, $1,216 against Maryland's $1,320.
- Virginia would take $84 more, $1,404 against Maryland's $1,320.
- Washington DC would take $214 more, $1,534 against Maryland's $1,320.
Rental host tax questions in Maryland
How much should a Maryland host set aside?
About 15.8% of gross on the $39,000 example, $6,167 across self-employment tax, federal income tax and $1,223 to Maryland. Set aside from each payout rather than finding it in April.
Does the $39,000 on my 1099-NEC match what Maryland taxes?
No. Maryland taxes profit, not gross. After $10,100 of deductions the taxable figure is $28,900, so the Maryland bill is $1,223 rather than what gross alone would suggest.