Can same-sex spouses file joint federal income tax returns in light of the Supreme Court’s decision to strike down the Defense of Marriage Act (DOMA)?

Maybe. Typically, the IRS determines marital status by looking at state law in the person’s place of domicile – generally where their permanent residence or primary home is located. Therefore, same-sex spouses who reside in and were married in Maryland will likely be considered married for federal tax purposes. However, complications and uncertainty with filing status…

Read More

Can same-sex spouses file joint state income tax returns, and are they now subject to the same Maryland estate tax laws as opposite-sex spouses?

The Maryland General Assembly recently passed HB 380 and HB 1031/SB 658 that affect income and estate taxes for same-sex spouses. If the Governor signs HB 380, same-sex spouses may file joint or married filing separate Maryland income returns, and may deduct the cost of health insurance paid by one-spouse for the benefit of the other…

Read More

I am a Maryland resident who owns a business in New Jersey. I pay tax on my income to both states. Am I entitled to a credit?

In Comptroller v. Wynne, the Court of Appeals recently held that Maryland’s denial of a credit towards the local income tax portion of Maryland’s income tax regime for taxes paid to other states by a Maryland resident is unconstitutional. For example, if a resident generated income in a state with a 9% income tax rate,…

Read More