Do I have to file 1099s with Maryland?
| Form | Maryland tax withheld | No withholding |
|---|---|---|
| 1099-G | Direct | Not required |
| 1099-R | Direct | Not required |
| 1099-S | Direct | Not required |
| W-2G | Direct | Not required |
| 1099-MISC | Direct | Not required |
| 1099-NEC | Direct | Not required |
| 1099-K | Direct | Direct |
1099-K is required for payees who must file a Maryland return, at the IRC 6041(a)IRC 6041Internal Revenue Code, Cornell LII amount ($2,000 for 2026), regardless of withholding; the other forms only when Maryland tax was withheld.
The rules for tax year 2026
| Forms filed with the state | 1099-G, 1099-R, 1099-S, W-2G for Maryland payees paid $10+ with Maryland withholding; 1099-MISC and 1099-NEC whenever Maryland withholding is greater than zero; 1099-K per Tax-General §10-825. |
| Who must file | Any payer with Maryland withholding on the form; third-party settlement organizations for 1099-K payees required to file a Maryland return. CF/SF does not count: ‘Maryland will NOT be processing any 1099’s from the Combined Federal/State Filing Program.’ |
| 2026 filing threshold (1099-NEC, 1099-MISC) | Own rule: 1099-MISC and 1099-NEC only when Maryland withholding is greater than zero, regardless of amount. No 2026 or $2,000 statement."Maryland only requires a 1099-MISC and 1099-NEC from the payer (or employer) when there is Maryland withholding greater than zero, regardless of the payment amount." 1099-G/R/S and W-2G: "payment of $10 or more ... when Maryland withholding is greater than zero."Source: 2025 Maryland 1099 Instructions and Specifications |
| State 1099-K threshold | The federal IRC 6041(a)IRC 6041Internal Revenue Code, Cornell LII amount: $2,000 for tax year 2026. Tax-General 10-825(b): "Notwithstanding the filing threshold under § 6050W of the Internal Revenue Code", a TPSO reports for payees "required to file a return or declaration" when payments meet "the filing threshold under § 6041(a) of the Internal Revenue Code", which is $2,000 for payments after 2025 (IRS Instructions for Forms 1099-MISC and 1099-NEC, Rev. December 2026). 10-825(c): report "at least 30 days before the federal filing deadlines for the information." No Comptroller notice on the 2026 amount yet; the TY2025 1099 instructions give no dollar figure. 1099-K and 1099-S are filed via SFTP.Source: Md. Tax-General 10-825 |
| State backup withholding | NoNo Maryland backup withholding rule for private payers found. The Comptroller's backup withholding page covers federal backup withholding on State agency payments: "The State will institute Federal Backup Withholding on all State agency payments".Source: Comptroller: Backup WithholdingAll states: state backup and nonresident withholding |
| Withholding on nonresident contractors | None stated for contractors. Guide lists nonresident withholding on wages for services in Maryland and on "a sale or exchange of real property ... owned by a nonresident or nonresident entity"; gambling over $5,000 at 8.75% for nonresidents.Source: 2026 Maryland Employer Withholding GuideAll states: state backup and nonresident withholding |
| Where to file | Maryland Tax Connect (bulk upload as user or Transmitter, or key-in); SFTP only for 1099-K and 1099-S |
| File format for tax year 2026 | Pub 1220; XML for TY2026See the specifications below. This state accepts or has announced the IRS IRIS XML format; see FIRE to IRIS for how it differs. |
| Annual transmittal or reconciliation | MW508 Annual Employer Withholding Reconciliation (auto-generated when a 1099 electronic file is submitted)Due: January 31 (next business day if weekend/holiday)Form: 2026 Maryland Employer Withholding Guide |
| Due dates | "The filing deadline for submitting the MW508 return and 1099s is January 31st." No NEC vs other split. Electronic required at 25 or more; fewer than 25 may file paper MW508 with paper 1099s. For 1099-K, a TPSO must file with Maryland “at least 30 days before the federal filing deadlines for the information” (Tax-General §10-825(c)); the state instructions do not repeat it.Source: 2025 Maryland 1099 Instructions and SpecificationsSource: Md. Tax-General 10-825 |
| Combined Federal/State (CF/SF) | "Maryland will NOT be processing any 1099's from the Combined Federal/State Filing Program." Nothing on IRIS.Source: 2025 Maryland 1099 Instructions and Specifications |
| Penalties | "Failure to comply may result in a penalty of $100 for each violation. In addition, there could also be a $50.00 penalty for each 1099 not filed." Additional penalties under Tax-General 13-706.Source: 2025 Maryland 1099 Instructions and Specifications |
How to file, step by step
- Identify 1099s with Maryland withholding greater than zero (plus 1099-K for Maryland filers and 1099-S).
- Confirm your 8-digit Central Registration Number (CRN) and FEIN.
- Register at Maryland Tax Connect (or as a Transmitter for third-party filers).
- Upload a Pub 1220 file in the modified Maryland format (XML expected for TY2026), or key in if fewer than 25; MW508 is generated automatically.
- Send 1099-K and 1099-S via SFTP.
- File by January 31.
File specifications and filing system
- 2025 Maryland Employer Reporting of 1099s Instructions and Specifications (October 2025, v1.0)
- Filing system: Maryland Tax Connect (bulk upload as user or Transmitter, or key-in); SFTP only for 1099-K and 1099-S
State pages checked (5)
- https://www.marylandcomptroller.gov/content/dam/mdcomp/tax/instructions/2025/reporting-1099-instructions.pdf
- https://www.marylandcomptroller.gov/content/dam/mdcomp/tax/instructions/withholding/2026/withholding-guide.pdf
- https://services.marylandcomptroller.gov/taxes/en/backup-withholding?id=kb_article_view&sysparm_article=KB0010184
- https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gtg§ion=10-825&enactments=false
- https://www.irs.gov/pub/irs-pdf/i1099mec.pdf
Questions people ask about Maryland
Do I have to file 1099s directly with Maryland?
It depends on the form. With Maryland withholding: Direct filing: G, R, S, W-2G, MISC, NEC, K. Without withholding: Direct filing: K. Not required: G, R, S, W-2G, MISC, NEC. Any payer with Maryland withholding on the form; third-party settlement organizations for 1099-K payees required to file a Maryland return. CF/SF does not count: ‘Maryland will NOT be processing any 1099’s from the Combined Federal/State Filing Program.’
Which 1099 forms does Maryland require?
1099-G, 1099-R, 1099-S, W-2G for Maryland payees paid $10+ with Maryland withholding; 1099-MISC and 1099-NEC whenever Maryland withholding is greater than zero; 1099-K per Tax-General §10-825.
When are 1099s due in Maryland?
"The filing deadline for submitting the MW508 return and 1099s is January 31st." No NEC vs other split. Electronic required at 25 or more; fewer than 25 may file paper MW508 with paper 1099s.
How do I file 1099s with Maryland?
Identify 1099s with Maryland withholding greater than zero (plus 1099-K for Maryland filers and 1099-S). Confirm your 8-digit Central Registration Number (CRN) and FEIN. Register at Maryland Tax Connect (or as a Transmitter for third-party filers). Upload a Pub 1220 file in the modified Maryland format (XML expected for TY2026), or key in if fewer than 25; MW508 is generated automatically. Send 1099-K and 1099-S via SFTP. File by January 31.
Does Maryland have its own 1099-K threshold?
The federal IRC 6041(a)IRC 6041Internal Revenue Code, Cornell LII amount: $2,000 for tax year 2026. Tax-General 10-825(b): "Notwithstanding the filing threshold under § 6050W of the Internal Revenue Code", a TPSO reports for payees "required to file a return or declaration" when payments meet "the filing threshold under § 6041(a) of the Internal Revenue Code", which is $2,000 for payments after 2025 (IRS Instructions for Forms 1099-MISC and 1099-NEC, Rev. December 2026). 10-825(c): report "at least 30 days before the federal filing deadlines for the information." No Comptroller notice on the 2026 amount yet; the TY2025 1099 instructions give no dollar figure. 1099-K and 1099-S are filed via SFTP.
Does Maryland require withholding on payments to nonresident contractors?
None stated for contractors. Guide lists nonresident withholding on wages for services in Maryland and on "a sale or exchange of real property ... owned by a nonresident or nonresident entity"; gambling over $5,000 at 8.75% for nonresidents. The 50-state withholding tables show where Maryland sits.
Each row above links to the state page it came from. Rules change every year, so confirm with the department before filing.
What does not change by state
The federal filing rules for each form (who files, the 2026 thresholds, boxes and due dates) are on the federal forms pages; this page covers only what Maryland adds. TIN matching, B-Notices, backup withholding and the IRC 6721IRC 6721Internal Revenue Code, Cornell LII penalty are federal. A payee in Maryland who gives you a name/TIN pair that does not match IRS records produces the same CP2100 line as one anywhere else, and the same 15- and 30-business-day clocks. State filing is a separate obligation layered on top.