Maryland imposes a progressive state income tax on wages, salaries, tips, and other compensation. Rates range from 2 % to 5.75 % depending on taxable income brackets. There is no separate “labor tax”; labor income is simply part of the overall taxable income.
Certain income types are exempt (e.g., military pay, some retirement benefits). The state sales tax (6 %) applies to goods and certain services, not to labor itself.
Consult a tax professional or the Maryland Comptroller for personalized guidance.