Maryland compliance at a glance
- Sales tax: 6.00% state rate. State 6%; uniform statewide. No local sales tax.
- Late fees: Up to 1.5% per month. (Md. Com. Law §12-103) Legal rate 6%/yr; contract rates up to 24%/yr.
- Written contracts: Required for jobs over $1,000.
- Prompt-pay law: Maryland Prompt Payment Act (Md. Code State Fin. & Proc. §15-103; Real Prop. §9-301 for construction). Construction subs paid within 7 days of GC receiving payment; interest at legal rate if late.