Penalty and Interest Charges

If your clients do not respond to the first notice, they will receive an assessment notice that will include substantial penalty and interest charges. Under Maryland law, the assessment notice is a legal assessment. Collection procedures may begin after a 30-day period when the assessment can be appealed.

Your clients' assessment will depend on the amount of taxes that we believe they owe. Maryland law requires us to charge interest at the annual rate of at least 13 percent and will be calculated from the date the return was originally due.

If your clients do not settle the account promptly after they receive an assessment notice, a representative of our collection section may contact them by telephone to set up a payment plan agreement. If we do not reach a payment agreement, or if they do not adhere to one we have agreed upon, legal action may include filing a property lien or attaching bank accounts and salary. The account may also be referred to an outside collection agency.

You can file an appeal and request a hearing within 30 days of an assessment.