Maryland Released Form 511 – Extended Pass-Through Entities’ Deadline to September 15th
The long-awaited Maryland Form 511 has finally arrived. Yesterday, the Maryland Comptroller released the Pass-Through Entity Election Income Tax Return—along with instructions—for filing pass-through entity (PTE) returns for 2020 for those filers that elect to pay Maryland tax at the entity level.
The form is used to both report the current year income and remit the entity tax related to the members’ distributive Maryland source income.
Maryland also announced that the PTE filing deadline is extended until September 15th rather than July 15. No interest or penalties for late filing or payment will be assessed if returns are filed, and all taxes are paid by the September 15th deadline.
With Form 511 available, Maryland must work with tax software developers to ensure that returns can be processed and filed electronically (required).
We will work to determine the cost effectiveness to you of amending your tax returns (if applicable). The change in the law and forms would require amending both your Maryland S Corp return and your personal tax returns.
In some cases there may be a tax savings to you. If so, we will be in touch to discuss with you before amending any returns.
Have a great 4th of July!