Notice Regarding Online Premium Tax Filings
Pursuant to Section 2-113 of the Insurance Article of the Annotated Code of Maryland, taxes owed by an insurer on the date the report is due in excess of $20,000 must be paid in immediately available funds. To ensure timely payment and proper crediting of your tax payment, the Administration encourages all tax payments to be made electronically.
Using the Maryland Insurance Administration Company Desktop online payments can be made using credit card or an E-check when filing your Premium Taxes.
Subtitle I of Title 6 of the Insurance Article of the Annotated Code of Maryland imposes a tax on the premiums allocable to the State, defines the premiums to be taxed, and the computation of the tax.
Under Section 6-106 of this Subtitle each person is required to make a declaration of estimated tax for the year by April 15 of the taxable year and to pay 25% of the tax estimated for the full year with the initial declaration and with each quarterly report for that year.
The estimated tax declaration may be either 90% of the amount due in the current taxable year or 100% of the prior year's premium tax due. Under payment of estimated taxes are subject to penalties and interest defined in section 6-108 of this Subtitle.
Companies with estimated taxes of less than $1,000 are not required to make a declaration or to make estimated quarterly payments.