Year End Reconciliation Requirements

Employers are required to furnish a completed wage and tax statement (Form W-2 or 1099) to each employee by January 31 of each year, showing the employee's compensation and tax withholding amounts for the prior calendar year.

Employers are also required to submit a year-end reconciliation to the Comptroller of Maryland by February 28 of each year, showing the prior year's wage and withholding information.

Maryland law does not allow filing extensions for year-end reconciliations.

Electronic format requirement

Employers must submit their required annual withholding statements in machine readable or electronic format if the total number of required statements equals or exceeds 100. The electronic format is also required if a lower threshold applies for federal income tax purposes.

We urge all employers to file electronically since it saves time and processing costs. However, filing electronically with the U.S. Social Security Administration does not satisfy your Maryland filing obligation. You must submit a separate filing to the Comptroller of Maryland in compliance with Maryland's filing requirements, on diskette, CD or online through our b-File service.