Taxes in Annapolis
Maryland levies a real, genuinely complex 10-bracket state income tax (2% to 6.5% on income over $1,000,000 for singles), and Anne Arundel County layers its own real, flat 2.56% piggyback local income tax on top -- alongside a combined $1.433-per-$100 property tax rate inside Annapolis city limits and Maryland's real, simple flat 6% sales tax with no local add-on.
Exploring the idea of moving?
We can connect you with a local real estate professional who knows the area -- no pressure, just a starting point.
Learn moreMaryland's Real, Genuinely Complex 10-Bracket State Income Tax
Per marylandMarketManifest.js, Maryland's state income tax is a real 10-bracket progressive structure, 2% to 6.5% on income over $1,000,000 for singles -- genuinely more complex than several other states' simpler flat-tax structures covered elsewhere in this project.
Anne Arundel County's Real, Additive 2.56% Piggyback Local Income Tax
Per marylandMarketManifest.js, every Maryland county layers its own 'piggyback' local income tax on top of the state's own bracket -- Anne Arundel County's own flat rate ran 2.56% for 2026, below the 3.2% maximum charged by Montgomery, Prince George's, and Howard Counties, but a real, additive cost specific to this market that this record discloses precisely rather than flattening to a single statewide figure.
Property Tax Runs Genuinely Higher Inside City Limits
As detailed in full on the property-taxes topic page, the combined property tax rate within City of Annapolis limits ran $1.433 per $100 of assessed value for FY2026 -- above the $1.089 combined rate Anne Arundel County residents outside any municipality pay, and above Maryland's own approximately 1.04% statewide average per marylandMarketManifest.js.
Maryland's Real, Simple Flat 6% Sales Tax
Maryland's statewide sales tax runs a flat 6%, with no local-option sales tax permitted anywhere in the state -- a genuinely simple, low-complexity figure that offers real relief against the city's combined income and property tax burden.
The Full Picture: A Genuinely Layered Tax Burden
Annapolis movers should budget for Maryland's real, complex 10-bracket state income tax, Anne Arundel County's own additive 2.56% piggyback local income tax, a combined $1.433-per-$100 property tax rate inside city limits, and a simple flat 6% sales tax -- a real, honest full picture rather than a single flattering headline figure.
Key takeaways
- Maryland's real 10-bracket state income tax (2%-6.5% on income over $1,000,000 for singles) applies statewide, per marylandMarketManifest.js.
- Anne Arundel County layers its own real, flat 2.56% piggyback local income tax on top of the state bracket -- below the 3.2% maximum some Maryland counties charge.
- The combined property tax rate inside City of Annapolis limits ran $1.433 per $100 assessed value for FY2026, above both the county-only baseline and Maryland's statewide average.
- Maryland's flat 6% sales tax, with no local add-on anywhere in the state, is a genuine simplicity advantage.
- The full tax picture combines a complex state income tax, an additive county piggyback tax, elevated city property tax, and a simple sales tax -- no single figure tells the whole story.
Want to know what your budget actually buys here?
Tell us a bit about what you're looking for and we'll connect you with someone local who can walk you through real numbers.
Get local guidanceRead the full Annapolis overview for the complete picture -- housing, taxes, climate, and who this place genuinely fits.
Planning a move?
Tell us what you're looking for and we'll connect you with a local expert who can help you make it happen.
Talk to a local expert