What is the penalty for late payment of taxes in Maryland?

The penalty for late payment of taxes in Maryland is calculated based on the amount owed and the number of days the payment is overdue. The penalty rate is 10% of the unpaid tax for each month or partial month that the payment remains late, up to a maximum penalty of 25%. Additionally, interest accrues on the unpaid amount at a rate determined annually. It is essential to note that failure to file a tax return by the deadline may also incur penalties. These penalties aim to encourage timely payment, thus ensuring the efficient funding of essential government services. Therefore, it is crucial to make tax payments promptly to avoid accumulating penalties and interest.