The Maryland 505 form is pivotal for nonresidents who earned income in the state within the 2005 fiscal year, providing a structured process to calculate and file income taxes due. It addresses various facets of an individual's financial spectrum, ranging from wages and interest income to deductions and tax credits, ensuring accurate tax responsibilities are met. For those looking to navigate through the complexities of state tax obligations efficiently, understanding and accurately completing this form is crucial.
Ready to fulfill your tax obligations with confidence? Click the button below to start the process of filling out your Maryland 505 form.
The Maryland 505 Form, designated for nonresident income tax returns for the fiscal year beginning and ending in 2005, is critical for individuals who earned income in Maryland but resided elsewhere. This detailed document requires the taxpayer's personal information, including Social Security numbers for both the individual and their spouse if applicable, as well as the current residential address. It outlines the necessity for nonresidents to report various types of income such as wages, interests, dividends, and more. Furthermore, it demands calculations for exemptions, deductions, Maryland and non-Maryland income adjustments, leading up to the tax computation and potential credits. Eligible filers might navigate through options for standard or itemized deductions, alongside provisions for specific exemptions conducive to lowering taxable income. This form also accommodates sections for direct contributions to state funds, showing Maryland’s effort to engage taxpayers in its environmental and social welfare programs. Lastly, the form’s design for handling overpayments—to either apply them towards the next fiscal year's estimated tax or refund them—exemplifies the state's structured approach to tax collection and refunds. Through its comprehensive layout, the Maryland 505 Form facilitates the accurate taxation of nonresidents’ Maryland-sourced income, ensuring adherence to state tax laws and support for state-funded programs.
FORM MARYLAND NONRESIDENT 505 INCOME TAX RETURN
OR FISCAL YEAR BEGINNING
2005, ENDING
2005
$
SOCIAL SECURITY #
SPOUSE’S SOCIAL SECURITY #
Your First Name
Initial
Last Name
Spouse’s First Name
PRESENT ADDRESS (No. and street)
City or Town
State
Zip Code
YOUR FILING STATUS—See Instruction 4 to determine if you are required to file.
EXEMPTIONS — See Instruction 10
Exemption Amount
1. ☐ Single (If you can be claimed on another person’s tax return, use Filing Status 6)
(A) Yourself ☐
Spouse ☐
Enter No.
(A)
× $2,400
$ ______________
Checked
2. ☐ Married filing joint return or spouse had no income
Check here if you are:
Spouse is:
(B) ▶ ☐ ▶ ☐
▶ ☐ ▶ ☐
(B)
× $1,000
▶ 3. ☐ Married filing separately
65 or over
Blind
4. ☐ Head of household
SPOUSE’S SOCIAL SECURITY NUMBER
Enter
(C) Dependent Children:
(C)
5. ☐ Qualifying widow(er) with dependent child
Total
Name(s)
Social Security number(s)
6. ☐ Dependent taxpayer (Enter 0 in Exemption Box (A)—See Instruction 8 )
________________________________ __ __ __-__ __-__ __ __ __
RESIDENCE INFORMATION—See Instruction 9
Enter your state of legal residence.
Were you a resident for the entire year of 2005?
_____________________________
Yes ☐ No ☐
If no, attach explanation.
(D) Other Dependents:
(D)
No.
Are you or your spouse a member of the military? Yes ☐
No ☐
Regular
Did you file a Maryland income tax return for 2004?
Yes ☐
Name(s) and Relationship(s)
If “Yes,” was it a ☐ Resident or a ☐ Nonresident return?
Advise dates you resided within Maryland for 2005. If none, enter “NONE.”
(E) Enter Total Exemptions
▶ (E)
FROM _____________________
TO _____________________
$ _____________
(Add A, B, C and D)
Amount
See Instruction 4 if you’re filing for Maryland taxes withheld in error.
FEDERAL
MARYLAND
NON-MARYLAND
INCOME AND ADJUSTMENTS INFORMATION (See Instruction 11)
INCOME (LOSS)
1.
Wages, salaries, tips, etc
1
. .
2.
Taxable interest income
2
3.
Dividend income
3
4.
Taxable refunds, credits or offsets of state and local income taxes . . . .
4
wageyouroftop
staple.ONE
5.
Alimony received
5
6.
Business income or (loss)
6
7.
Capital gain or (loss)
7
8.
Other gains or (losses) (from federal Form 4797)
8
9.
Taxable amount of pensions, IRA distributions, and annuities
9
ORDERMONEYorCHECKyourPlaceon
hereattachandstatementstaxandwith
10.
Rents, royalties, partnerships, estates, trusts, etc. (Circle appropriate item)
10
11.
Farm income or (loss)
11
12.
Unemployment compensation (insurance)
12
13.
Taxable amount of social security and tier 1 railroad retirement benefits
13
14.
Other income (including lottery or other gambling winnings)
14
15.
Total income (Add lines 1 through 14)
15
16.
Total adjustments to income from federal return (IRA, alimony, etc.) . . . .
16
17.
Adjusted gross income (Subtract line 16 from 15)
▶ 17
ADDITIONS TO INCOME (See Instruction 12)
Dollars
Cents
18.
Non-Maryland loss
18
. . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19.
Other (Enter code letter(s) from Instruction 12)
19
. . . . . . . . . . .
20.
Total additions (Add lines 18 and 19)
▶
20
21.
Total federal adjusted gross income & Maryland additions (Add lines 17 (Column 1) and 20)
21
SUBTRACTIONS FROM INCOME (See Instruction 13)
22
22.
Non-Maryland income
23
23.
Other (Enter code letter(s) from Instruction 13)
24
24.
Total subtractions (Add lines 22 and 23)
25.
Maryland adjusted gross income (Subtract line 24 from line 21)
25
DEDUCTION METHOD (All taxpayers must select one method and check the appropriate box)
☐ 26a
STANDARD DEDUCTION METHOD See Instruction 15 and worksheet. Enter amount on line 26a ▶
ITEMIZED DEDUCTION METHOD Complete lines 26b, c and d☐
26b
Total federal itemized deductions (from line 28 federal Schedule A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26c
State and local income taxes included in federal Schedule A, line 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26d
Net itemized deductions (Subtract line 26c from line 26b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26. Deduction amount (Multiply lines 26a or 26d by the MD income factor) 26e.
(from worksheet in Instruction 14 ) . . .
COM/RAD-022 05-49
26
FORM
MARYLAND NONRESIDENT
505
INCOME TAX RETURN
Name ___________________________________________ SS# ____________________________________________
27.
Net income (Subtract line 26 from line 25)
28.
Total exemption amount (from EXEMPTIONS area, page 1) See Instruction 10
29.
Enter your Maryland income factor (from worksheet in Instruction 14)
30.
Maryland exemption allowance (Multiply line 28 by line 29)
31.
Taxable net income (Subtract line 30 from line 27) Figure tax on this amount
MARYLAND TAX COMPUTATION
32a. Maryland tax (from Tax Table or Computation Worksheet) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
32b. Special nonresident tax. Multiply line 31 by .0125 (1.25%) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
32c. Total Maryland tax. (Add lines 32a and 32b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
33.
Earned income credit from worksheet in Instruction 20
.
. . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . .
34.
Poverty level credit from worksheet in Instruction 20
35.
Other income tax credits for individuals from Part G, line 8 of Form 502CR. (Attach Form 502CR)
36.
Business tax credits (Attach Form 500CR)
37.
Total credits (Add lines 33 through 36)
38.
Maryland tax after credits (Subtract line 37 from line 32c) If less than 0, enter 0. . . .
39.
Contribution to Chesapeake Bay and Endangered Species Fund (See Instruction 21)
40.
Contribution to Fair Campaign Financing Fund (See Instruction 21)
41.
Contribution to Maryland Cancer Fund (See Instruction 21)
42.
Total Maryland income tax and contributions (Add lines 38 through 41)
43.
Total Maryland tax withheld (Enter total from and attach your W-2 and 1099 forms if MD tax is withheld)
44.
2005 estimated tax payments, amount applied from 2004 return and payment made with an extension request Form 502E
45.
Refundable earned income credit from worksheet in Instruction 20
46.
Nonresident tax paid by pass-through entities (Attach Schedule K-1 or other statement)
47.
Refundable income tax credits from Part H, line 5 of Form 502CR (Attach Form 502CR. See Instruction 22)
48.
Total payments and credits (Add lines 43 through 47)
49.
Balance due (If line 42 is more than line 48, subtract line 48 from line 42)
50.
Overpayment (If line 42 is less than line 48, subtract line 42 from line 48)
51.
Amount of overpayment TO BE APPLIED TO 2006 ESTIMATED TAX
51
. . . .
52.
Amount of overpayment TO BE REFUNDED TO YOU (Subtract line 51 from line 50)
REFUND ▶
53.
Interest charges from Form 502UP
or for late filing
(See Instruction 23) Total
54.
TOTAL AMOUNT DUE (Add line 49 and line 53)
IF $1 OR MORE, PAY IN FULL WITH THIS RETURN.
For credit card payment check here
and see Instruction 25. Direct debit is available only if you file electronically.
DollarsCents
27
28
29
30
31
32a
32b
32c
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
52
53
54
DIRECT DEPOSIT OF REFUND (See Instruction 23) Please be sure the account information is correct.
55. To choose the direct deposit option, complete the following information:
55a. Type of account: ▶
Checking
Savings
55b. Routing number ▶
55c. Account number ▶
-
Daytime telephone no.
Home telephone no.
CODE NUMBERS (3 digits per box)
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and
Make checks payable to: COMPTROLLER OF MARYLAND.
statements and to the best of my knowledge and belief it is true, correct and complete. If prepared by a person
It is recommended that you include your social security no. on
other than taxpayer, the declaration is based on all information of which the preparer has any knowledge. Check
check using blue or black ink. Mail to: Comptroller of Maryland,
here
if you authorize your preparer to discuss this return with us.
Revenue Administration Division, Annapolis, Maryland 21411-0001
Your signature
Date
Preparer’s SSN or PTIN
Signature of preparer other than taxpayer
Spouse’s signature
Address and telephone number of preparer
Filling out the Maryland 505 form, the Nonresident Income Tax Return, can seem challenging, but with careful attention to details and the necessary financial documents at hand, you can complete it efficiently. Before diving into the form, ensure you have gathered all relevant income statements, such as W-2s, 1099s, and any documentation of Maryland income, as well as records of any tax payments or estimated taxes you've already paid. Here are step-by-step instructions to help guide you through the process smoothly:
Take your time to go through each section carefully, ensuring that all information is accurate and complete to avoid any potential issues with your tax return. Once your form is mailed, you've successfully completed the Maryland 505 Nonresident Income Tax Return process.
The Maryland Form 505 is required for individuals who are not residents of Maryland but have earned income from sources within the state during the tax year 2005. This includes, but is not limited to, wages, business income, or rental income earned within Maryland. If you're uncertain about your residency status or if you have income sources in Maryland, it's important to check the filing requirements closely to determine if this form applies to you.
On the Maryland Form 505, exemptions reduce the amount of taxable income. You can claim exemptions for yourself, your spouse, dependents, and any other qualified individuals. The form includes different categories for exemptions, such as age and blindness, which could increase the exemption amount. The total exemption amount is calculated by adding the applicable totals from sections: Yourself, Spouse, Dependent Children, and Other Dependents, each multiplied by the exemption value which is specified on the form.
Yes, Maryland Form 505 can be filed electronically. Filing electronically is a convenient way to submit your tax return because it's faster and reduces errors that can occur with paper filing. Additionally, when you file electronically, the processing time is quicker, which means any refund you're owed will generally be received sooner. Make sure to check the Maryland Comptroller's website or with your tax preparation software to confirm the availability of electronic filing for Form 505.
If you realize you've made a mistake on your Maryland Form 505 after filing, you should amend your return as soon as possible. The state of Maryland provides a process for amending your return, which typically involves filling out a separate form that outlines the specific changes or corrections. It is crucial to follow the instructions carefully and provide all necessary documentation. Correcting errors promptly can help avoid potential penalties and interest charges for underpaid taxes.
Filling out tax forms can be complex, and the Maryland Form 505 for nonresidents is no exception. Several common mistakes can lead to errors in processing, potential delays, and sometimes, unwelcome interactions with the state tax authority. While diligent attention to detail can mitigate many of these errors, awareness of the frequent pitfalls is a critical first step. Here are eight common mistakes people make when completing the Maryland 505 form:
Rectifying these mistakes involves double-checking all entries on the form, verifying calculations, and ensuring complete and accurate documentation. When in doubt, consulting the instructions for the Maryland 505 form or seeking advice from a tax professional can prevent these common errors.
Filing tax returns often necessitates the gathering and filing of various forms and documents besides the primary form. For residents of Maryland filing a nonresident return with Form 505, several other forms and documents may also need to be provided to ensure accuracy and completeness of tax filings. Here's a brief overview of these forms and documents, explaining how each is used in conjunction with the Maryland 505 form.
Understanding and including the correct forms and documents with the Maryland 505 form is crucial for an accurate and complete tax filing. Those listed above typically accompany the 505 form but depending on individual circumstances, additional documents may be required. Always refer to the latest Maryland tax instructions or consult a tax professional to ensure compliance with state requirements.
The Maryland 505 form is similar to other state-specific nonresident tax return forms, each designed to cater to the unique tax situations of nonresidents earning income within a state's borders. These forms share common features, aiming to calculate the income earned within the state accurately, determine the appropriate state tax based on this income, and account for any special credits or deductions applicable to nonresidents. While the specifics of each form vary by state, the underlying goal remains consistent: to ensure nonresidents comply with state tax regulations without being subject to double taxation on the same income.
Another document that the Maryland 505 form mirrors is the U.S. IRS Form 1040NR, which is used by nonresident aliens to file their U.S. income tax returns. Similar to the Maryland 505, Form 1040NR caters to individuals who earn income in a jurisdiction where they do not reside. Both forms require detailed income information and allow for specific deductions and credits relevant to nonresidents, ensuring they're only taxed on income earned within the respective taxing authority's jurisdiction. The parallel between state-specific nonresident forms like Maryland's 505 and the federal 1040NR highlights the layered approach to taxation in the United States, where federal and state tax obligations are distinctly managed yet follow a similar logic for nonresident taxpayers.
When filling out the Maryland 505 form, it's essential to follow guidelines carefully to ensure accuracy and compliance with state tax laws. Here's a list of dos and don'ts that can help:
Many people have misconceptions about the Maryland Form 505, the Nonresident Income Tax Return. Here are four common misunderstandings, clarified for better understanding:
Understanding these misconceptions about the Maryland 505 Form can lead to more accurate tax filings and prevent unnecessary errors. Always consult current guidelines or a tax professional if in doubt about your tax responsibilities.
Filling out and using the Maryland 505 form, which is the Income Tax Return for Nonresidents for the year 2005, requires understanding a few key aspects that ensure accuracy and compliance with state tax laws. Although the form might seem daunting at first glance, knowing these key takeaways can make the process smoother.
Determining residency status is crucial before starting the form. Nonresidents who earned income from Maryland sources during 2005 need to use this form. If unsure about your residency status, the instructions detailed in the form can guide you on whether you're considered a Maryland resident or nonresident for tax purposes.
Exemption information significantly affects your taxable income. It’s important to accurately calculate the number of exemptions you’re eligible for—this includes exemptions for yourself, your spouse, dependents, and any other deductions you qualify for. Pay special attention to the exemption calculation method indicated on the form to avoid mistakes.
Choosing the correct deduction method between the standard and itemized deductions can lead to different tax outcomes. The form allows you to select either option, but it's beneficial to calculate both to see which one offers the most advantageous deduction for your situation.
The form requires detailed income and adjustment information that aligns with your federal tax return. You must report all income received from both Maryland and non-Maryland sources separately, and accurately adjust this income as instructed to find your Maryland adjusted gross income.
Nonresident tax calculation involves an additional step. Nonresidents have to calculate a special tax rate on their taxable income, known as the special nonresident tax, to ensure that they are contributing their fair share to Maryland’s state revenue, even if they reside elsewhere.
Understanding these key takeaways can make completing the Maryland 505 form less intimidating and more straightforward. Careful attention to detail and a thorough review of the instructions accompanying the form will help avoid common pitfalls and ensure your tax return is accurately prepared.
Polygraph Tips - The inclusion of questions about foreign affiliations ensures that applicants meet security clearance requirements.
Maryland Tax Withholding - Businesses must identify personal property exempt from reporting, citing specific exemptions such as charitable or educational use.