MD → FL Tax Savings
Move from Maryland to Florida & Save 5.8% in State Taxes
Maryland residents pay up to 5.8% in state income tax. Florida charges 0%. Establish Florida residency and keep more of what you earn.
Maryland vs Florida: Tax Comparison
See how Maryland's tax structure compares to Florida across every major tax category.
| Tax Category | Maryland | Florida |
|---|---|---|
| State Income Tax | Up to 5.8% | 0% |
| Capital Gains Tax | Yes | No |
| State Estate Tax | Yes | No |
| Homestead Exemption | Limited | Unlimited |
Your Potential Tax Savings
Estimated annual state income tax savings when moving from Maryland to Florida, based on the top marginal rate of 5.8%.
Annual Income
$75,000
You Could Save
$4,313/yr
Annual Income
$100,000
You Could Save
$5,750/yr
Annual Income
$150,000
You Could Save
$8,625/yr
Annual Income
$200,000
You Could Save
$11,500/yr
Estimates use the top marginal rate for illustration. Actual savings depend on filing status, deductions, and total income.
Key Tax Facts: Maryland
What you need to know about Maryland's tax environment before making your move.
Maryland has a top state income tax rate of 5.75%, plus county taxes of up to 3.2%.
Maryland is one of only two states (with New Jersey) that has both an estate tax AND an inheritance tax.
Maryland's combined state and local income tax can reach nearly 9% in some counties.
Maryland taxes capital gains as regular income at the combined state and county rate.
Maryland vs Florida: Side by Side
See why thousands of Maryland residents are making the move to Florida.
Maryland charges up to 5.75% state income tax plus county taxes; Florida charges 0%.
Maryland has both an estate tax AND an inheritance tax; Florida has neither.
Maryland taxes capital gains at combined rates up to 9%; Florida has no capital gains tax.
On $150,000 income, moving from Maryland to Florida saves $8,625+ annually in state tax alone.
How to Change Residency from Maryland to Florida
Follow these five steps to legally establish your Florida domicile. Our service handles the documentation so you can focus on your life.
Establish a Florida Mailing Address
Set up a legitimate Florida residential address through our virtual mailbox service. Complete USPS Form 1583 with remote notarization so your mail is scanned and accessible from anywhere in the world.
File a Declaration of Domicile
File a Declaration of Domicile in your chosen Florida county. This legal document is the formal declaration of your intent to make Florida your permanent home and is a key piece of evidence in any audit.
Obtain a Florida Driver's License
Surrender your current state driver's license and obtain a Florida license. This is one of the strongest indicators of domicile that state tax authorities evaluate.
Update Voter Registration & Vehicle Titles
Register to vote in Florida and re-title your vehicles with a Florida address. Update your bank accounts, investment accounts, and professional licenses to reflect your new domicile.
Sever Ties with Your Former State
Systematically sever domicile ties with your previous state. Cancel memberships, close local bank accounts, update estate documents, and keep detailed records. This protects you during potential audits.
Frequently Asked Questions
How much will I save by moving from Maryland to Florida?
Maryland has a top income tax rate of 5.8%. Florida has 0% income tax. On a $100,000 income you could save approximately $5,750 per year, and on $200,000 you could save approximately $11,500 per year. Actual savings depend on your filing status and total income.
Does Maryland have an exit tax if I move to Florida?
Maryland does not have a formal "exit tax." However, Maryland may still attempt to tax you if they believe you have not properly changed your domicile. Properly documenting your Florida domicile — driver's license, voter registration, Declaration of Domicile — is critical to avoid disputes.
How long does it take to change residency from Maryland to Florida?
The process can be completed in as little as 2-4 weeks once you have a Florida address. Key steps include filing a Declaration of Domicile, obtaining a Florida driver's license, and updating voter registration. Our service guides you through every step.
Will I still owe Maryland taxes after I move to Florida?
You may owe Maryland taxes on income earned while you were a resident, and on any Maryland-source income after you leave (such as rental income from property in Maryland). Once you properly establish Florida domicile, your non-Maryland-source income is no longer subject to Maryland tax.
Do I need to physically live in Florida to be a resident?
Florida does not have a minimum physical presence requirement to establish domicile. You need to demonstrate intent to make Florida your permanent home through actions like filing a Declaration of Domicile, obtaining a Florida driver's license, and registering to vote. Many travel nurses, remote workers, and digital nomads maintain Florida residency while traveling.
Ready to Stop Paying 5.8% in Maryland Taxes?
Join thousands of former Maryland residents who have established Florida residency and eliminated their state income tax bill.
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