Taxes in Annapolis, Maryland
Complete tax guide for Annapolis, MD. State income tax up to 5.75%, 0.95% property tax, 6% sales tax. Calculate your total tax burden.
State Income Tax
5.75%
Maryland
Property Tax
0.95%
Effective rate
Sales Tax
6%
Combined rate
Tax Burden
High
Annapolis, MD Tax Overview
State capital; Anne Arundel County piggyback rate 2.56%
Population
40,812
Median Income
$78,127
Cost of Living
128.5 (100 = avg)
State Income Tax
5.75%
Local Income Tax
2.56%
Median Home Price
$465,000
Annapolis Tax Calculator
Pre-filled with Annapolis median: $78,127
Total Tax Burden in Annapolis
$21,271
Take-Home: $56,856 · Effective Rate: 27.23%
Federal Tax
$8,802
11.27% eff.
MD State + Local
$6,492
8.31% eff.
FICA
$5,977
7.65% eff.
Take-Home
$56,856
72.77% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $78,127.00 | $6,510.58 |
| Federal Income Tax | -$8,801.94 | -$733.50 |
| Maryland State Tax | -$4,492.30 | -$374.36 |
| Annapolis Local Tax (2.56%) | -$2,000.05 | -$166.67 |
| Social Security (6.2%) | -$4,843.87 | -$403.66 |
| Medicare (1.45%) | -$1,132.84 | -$94.40 |
| Take-Home Pay | $56,855.99 | $4,738.00 |
Property Tax in Annapolis
Median Home
$465,000
Annual Tax
$4,418
Monthly Tax
$368
Effective Rate
0.95%
Sales Tax in Annapolis
Combined Rate
6%
State Portion
~3.5%
Local Portion
~2.5%
The combined sales tax rate in Annapolis is 6%, which is below the national average of 7.12%. On a $100 purchase, you would pay $6.00 in sales tax.
Tax Burden Comparison
| Tax Type | Annapolis | Maryland Avg | National Avg |
|---|---|---|---|
| Income Tax | 5.75% + 2.56% | 5.75% | 4.6% |
| Property Tax | 0.95% | ~0.95% | 1.1% |
| Sales Tax | 6% | ~6% | 7.12% |
| Overall Burden | High | — | Moderate |
Tax Saving Tips for Annapolis Residents
- Maryland's income tax rate of 5.75% is above average. Maximize pre-tax retirement contributions (401k up to $23,500, IRA up to $7,000) to reduce both federal and state taxable income.
- Annapolis has a local income tax of 2.56%. If you work remotely, verify whether you owe city tax based on where you work or where you live. Some cities only tax people who work within city limits.
- Property tax in Annapolis (0.95%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in Maryland
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Very HighCalculate Your Full Maryland Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Annapolis, MD?
Annapolis, Maryland has a state income tax rate up to 5.75%, plus a local income tax of 2.56%. The property tax rate is 0.95% and the combined sales tax rate is 6%. State capital; Anne Arundel County piggyback rate 2.56%
How much is property tax in Annapolis?
The effective property tax rate in Annapolis is 0.95%. On the median home price of $465,000, this equals approximately $4,418 per year or $368 per month. This is below the national average of 1.1%.
What is the sales tax rate in Annapolis?
The combined sales tax rate in Annapolis is 6%, which includes both state and local components. This is below the national average combined rate of approximately 7.12%.
How does Annapolis's tax burden compare to other cities?
Annapolis has a high overall tax burden. The effective total tax rate for a median-income household is approximately 32.8%. The combination of 5.75% state income tax, 0.95% property tax, and 6% sales tax determines the total burden. Cost of living index is 128.5 (100 = national average).
Are there any local taxes in Annapolis?
Yes. Annapolis imposes a local income tax of 2.56% in addition to the state income tax of 5.75%. State capital; Anne Arundel County piggyback rate 2.56%