Roth conversion taxes in Maryland (2026)
By Mario Bailey · Published · Last reviewed
Maryland taxes Roth conversions as ordinary income at graduated rates up to 6.5%. A conversion adds to your state taxable income in the year you convert, on top of federal tax. The table below shows the computed Maryland tax on a $50,000 conversion at three baseline income levels, using 2026 rates.
Computed example: $50,000 conversion
State tax only (federal not included), age 66, standard deduction, no other state adjustments. Computed with the same functions the calculator uses.
| Filing status | Baseline income | State tax without conversion | With $50,000 conversion | Tax on the conversion | Effective rate |
|---|---|---|---|---|---|
| Single | $40,000 | $0 | $2,106 | $2,106 | 4.2% |
| Single | $80,000 | $1,631 | $4,006 | $2,375 | 4.8% |
| Single | $150,000 | $4,970 | $7,560 | $2,590 | 5.2% |
| Married filing jointly | $40,000 | $0 | $1,947 | $1,947 | 3.9% |
| Married filing jointly | $80,000 | $1,472 | $3,847 | $2,375 | 4.8% |
| Married filing jointly | $150,000 | $4,797 | $7,178 | $2,380 | 4.8% |
Social Security and retirement income
Maryland does not tax Social Security benefits. A conversion can still raise the federally taxable share of your benefits through the provisional income formula. Maryland also excludes up to $41,200 of retirement income for filers age 65 and over, which can shelter part of a conversion depending on how the state defines eligible retirement income.
Maryland state income tax only. County/local piggyback tax (2.25%-3.30%) not included. Standard deduction increased to $3,350 (single) / $6,700 (MFJ/HoH) for 2025+ per budget legislation. SS is fully exempt. Pension exclusion for age 65+ up to $41,200 (2025 value used for 2026; official 2026 figure pending). MFJ/HoH use a wider 4.75% bracket ($3k-$150k) vs. single ($3k-$100k). New capital gains surtax (2%) on federal AGI over $350,000 not modeled here.
FAQ
Does Maryland tax Roth conversions?
Yes. Maryland taxes Roth conversions as ordinary income at graduated rates up to 6.5%. Federal tax applies on top.
Does Maryland tax Social Security benefits?
No. Social Security benefits are not subject to Maryland income tax.
What is the top Maryland rate on a conversion in 2026?
6.5% at the highest marginal rate.
Model your Maryland conversion in the calculator
Rate data source: https://www.marylandtaxes.gov/individual/income/tax-info/tax-rates.php (MD Comptroller; 2025 budget bill added 6.25%/6.5% brackets effective Jan 1 2025)