Maryland Maryland Composite Pass-Through Entity Income Tax

Maryland Composite Pass-Through Entity Income Tax 
Tax Year 2023 Form 510C Composiite Pass-Through Entity Income Tax Return
MARYLAND
FORM

510C

2023

COMPOSITE PASSTHROUGH ENTITY
INCOME TAX RETURN

OR FISCAL YEAR BEGINNING

$

2023, ENDING

Date of Organization or Incorporation (MMDDYY)	

Business Activity Code No. (6 digits)

Name

Current Mailing Address (PO Box, Number, Street and Apt. No)

Current Mailing Address Line 2 (Apt No., Suite No., Floor No.)

City or Town	

State	

Foreign Country Name	

ZIP Code

+4

Foreign Province/State/County	
Do not write in this space.

Amended
Return

Foreign Postal Code	

ME	

NOTE: YOU MUST COMPLETE FORM 510 BEFORE YOU BEGIN THIS RETURN. SEE ADMINISTRATIVE RELEASE 6.
1.
Enter the total number of nonresident individual members of PTE listed on Form 510,
line 1b .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
1.
2.
Enter the number of eligible nonresident individual members who have elected to be
included in this composite filing.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
2.
3.
Enter the total distributive or pro rata share of income for nonresident individuals
included on line 2 of this form.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
3.
4.
Enter total exemption amount from Form 510C Schedule A, Column C.  .  .  .  .  .  .  .  .  .  .  .  .
4.
5.
Enter total standard deduction from Form 510C Schedule A, Column D. .  .  .  .  .  .  .  .  .  .  .  .
5.
6.
Allowable exemption and deductions. (Add lines 4 and 5.). . . . . . . . . . . . . . . . . . . . .
6.
7.
Enter the total flow-through decoupling modifications from Form 510C Schedule A,
Column E. If negative, enter negative.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
7.
8.
Enter total income allocable to MD from Form 510C Schedule A, Column F .  .  .  .  .  .  .  .  .  .
8.
9.
Add lines 7 and 8.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
9.
10. MD taxable income. Subtract line 6 from line 9. (If less than zero, enter zero.).  .  .  .  .  .  .
10.
11. MD tax. (Multiply line 10 by 8%.).  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
11.
12a.	Enter total PTE nonresident tax from Form 510C Schedule A, Column G.  .  .  .  .  .  .  .  .  .  .
12a.
12b.	Enter payment made with extension request.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
12b.
12c.	Total payments (Add line 12a and 12b.).  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
12c.
13. Balance Due. If line 11 is greater than 12c, subtract line 12c from line 11 and
enter here; go to line 15.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
13.
14. Overpayment. If line 12c is greater than line 11, subtract line 11 from line 12c and
enter amount here.. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
14.
15. Interest charge for late filing.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
15.
16. Total Balance Due (Add lines 13 and 15 or if line 15 exceeds line 14,
enter the difference.) .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
16.
17. Overpayment TO BE REFUNDED (Subtract line 15 from line 14.).  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
17.
STAPLE CHECK HERE

Print Using Blue or Black Ink Only

Federal Employer Identification Number (9 digits)

COM/RAD-071

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YE

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MARYLAND
FORM

510C
NAME	

2023

COMPOSITE PASSTHROUGH ENTITY
INCOME TAX RETURN

page 2

FEIN

DIRECT DEPOSIT OF REFUND (see Instructions)
Verify that all account information is correct and clearly legible. If you are requesting direct deposit of your refund, complete the following.
Check here if you authorize the State of Maryland to issue your refund by direct deposit.
Check here if this refund will go to an account outside of the United States.
18a.	Type of account:.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 18a.

Checking	

Savings

18b.	Routing Number (9-digits): .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 18b.
18c.	Account Number: .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 18c.
18d.	Name as it appears on the bank account:
SIGNATURE AND VERIFICATION
Check here	
if you authorize your preparer to discuss this return with us.
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements and to
the best of my knowledge and belief it is true, correct and complete. If prepared by a person other than taxpayer, the declaration is
based on all information of which the preparer has any knowledge.

Name of General Partner/Officer	

Date	

Signature of General Partner/Officer			

Title

Printed name of the Preparer/Firm's name		

Street address of preparer /or Firm's address

Signature of preparer (Required by Law)		

City, State, ZIP Code + 4

Telephone number of preparer	

Preparer’s PTIN (Required by Law)	

CODE NUMBERS (3 digits per line)

Make check or money order payable to Comptroller of Maryland. On your check or money order, in blue or black ink
only, you must include the Federal Employer Identification Number, tax year, and tax type. Failure to include this
information will delay the processing of your payment. Mail to:
Comptroller of Maryland
Revenue Administration Division
110 Carroll Street
Annapolis, Maryland 21411-0001

COM/RAD-071

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MARYLAND
FORM

510C

SCHEDULE A

2023

COMPOSITE PASSTHROUGH ENTITY
INCOME TAX RETURN

page 3

Federal Employer Identification Number (9 digits)

Name

Street Address

City or town	

State	

ZIP code	

+4

MARYLAND COMPOSITE PASS-THROUGH ENTITY INCOME TAX RETURN
PASS THROUGH ENTITY MEMBER INFORMATION FOR COMPOSITE FILERS
A

B

C

D

E

F

G

Member Name/

Number of

Exemption

Standard

PTE Decoupling

Income Allocable

Distributive or Pro

Social Security

Exemptions

Amount

Deduction

Modifications

to Maryland

Rata Share of Tax

Amount

Number

SUBTOTAL of members from
additional Form 510C Schedule A

TOTALS

COM/RAD-071

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Paid

MARYLAND
FORM

510C

2023

COMPOSITE PASS-THROUGH
ENTITY INCOME TAX
RETURN INSTRUCTIONS

GENERAL INSTRUCTIONS
Pass-through entities (PTEs) may use Form 510C to file a composite
income tax return on behalf of eligible nonresident individual
members. Nonresident members other than individuals may
not participate in the composite return. The Maryland tax of each
nonresident individual member is calculated using the rate of 5.75%
plus the special nonresident tax of 2.25%.
Note: A single member entity cannot file a composite return.

that a tax is paid after the original due date of the
return through 12/31/24. The annual interest rate will
change after 12/31/25. For additional information, visit
marylandtaxes.gov. The Comptroller of Maryland will
calculate the interest and penalty for failure to pay the
required amount of tax and notify the pass-through entity
of any balance due.
Line 16	

Total Balance Due. Add the amounts on lines 13 and 15
and enter the result, or, if the amount on line 15 exceeds
line 14, enter the difference. The total amount due must
be paid with the filing of Form 510C.

Line 18	

To comply with banking and National Automated Clearing
House Association (NACHA) rules, we ask you to indicate
by checking the appropriate box on your return if the state
refund is going to an account outside the United States. If
you indicate that this is the case, STOP! Do not enter your
routing and account numbers, as the direct deposit option
is not available to you. We will send you a paper check.
By choosing direct deposit of your refund and checking
the appropriate box, you authorize the State of Maryland
to disclose to your bank to the State’s depository bank
and their financial partners, and NACHA any tax return
information necessary to make the deposit, such as your
refund amount, the name, as it appears on the bank
account. Complete lines 18a, b, c, and d of Form 510C
if you want us to deposit your refund directly into your
account at a bank or other financial institution (such as a
mutual fund, brokerage firm or credit union) in the United
States.

SPECIFIC INSTRUCTIONS
Who may use this form. Nonresident individual members of
a PTE doing business in the State who meet the composite return
requirements contained in Administrative Release 6 and elect to be
included in a composite return may not be required to file Maryland
nonresident returns individually. Instead, the PTE doing business in
the State may file a composite return on behalf of such nonresident
individual members if:
1.		 Form 510C accurately reflects the Maryland taxable income and
tax liability of each individual member shown on the return;
2.		Form 510C Schedule A is attached containing all required
information for each individual member; and,
3.		 The PTE pays the tax, interest and penalty due by each individual
member shown on the return.
Any overpaid amount will be refunded to the PTE. For more
information, Administrative Release 6 may be obtained from our
website at marylandtaxes.gov.
Line 2	

Line 4	

	

Line 5	

Line 7	

Line 15	

Enter the number of eligible nonresident individual
members who have elected to be included on this
composite return. Fiduciaries are not eligible and cannot
be included.
Enter the total exemption amount reported on Column C,
Form 510C Schedule A. The exemption amount allowed for
each nonresident individual member must be determined
separately based on the individual member’s filing status.
Generally, you are entitled to claim qualified exemptions
on the Maryland return. The amount of your Maryland
exemption may be limited by the amount of your federal
adjusted gross income. See Instruction 10 of Form 505,
Maryland Nonresident Income Tax Return to determine
the exemption amount before multiplying it by the
Maryland income factor, which is the nonresident’s
Maryland adjusted gross income (generally from Form
510C, Schedule A, Column F) divided by the nonresident’s
federal adjusted gross income (FAGI). If it is impracticable
to determine all of the separate Maryland income factors,
then the factor must be determined by using line 6 of Form
510 as the numerator (excluding the portion applicable to
nonresident fiduciary members) and line 2 of Form 510 as
the denominator (See Administrative Release 6).
Enter the total standard deduction amount reported
on Column D, Form 510C, Schedule A. The standard
deduction amount allowed for each nonresident individual
member must be determined separately based on the
individual member's Maryland adjusted gross income,
and then prorated by the nonresident’s Maryland income
factor. See Instruction 15 of Form 505 for determining the
standard deduction amount. See the instruction for line 4
for the nonresident individual member’s Maryland income
factor.
Enter the total PTE flow-through decoupling modification
amount reported on Column E, Form 510C. No flowthrough addition or subtraction modifications, other
than the modification required as a result of Maryland’s
decoupling from the additional depreciation allowance and
special 2-year net operating loss carryback provisions may
be claimed on a composite return.
If there is a balance due on line 13, interest may be
due as result of late filing of Form 510C and payment of
tax. Interest is due at the rate of 10.0075% annually or
0.8339% per month for any month or part of a month
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Schedule A Instructions. Complete the following for each eligible
nonresident individual member who has elected to be included on this
composite return.
Column A	 Member’s full name and Social Security Number.
Column B	 Member’s number of exemption allowance.
Column C	 Member’s exemption amount. See instruction for Form
510C, line 4.
Column D	 Member’s standard deduction.
510C, line 5.

See instruction for Form

Column E	 Member’s share of decoupling modification flow-through
from the PTE. See instruction for Form 510C, line 7.
Column F	 Member's pro rata share of income allocable to Maryland.
This is generally the member's portion of what is reported
on line 4 of Form 510. If amount is less than 0, enter 0.
A PTE filing a composite return is not permitted to
offset one member's income allocable to Maryland
by a loss from another member.
Column G	 Member’s pro rata share of the nonresident withholding
tax paid. This is the member’s portion of what is reported
on line 16d and line 17 of Form 510.
Signature Verification. An authorized general partner, officer or
member of the PTE must sign and date Form 510C and enter his or
her title. If a preparer is used, the preparer also must print name,
sign the return and enter the firm’s name, address and Preparer’s
Tax Identification Number (PTIN). Penalties may be imposed for tax
preparers who fail to sign the tax return and provide their Preparer’s
Tax Identification Number.
Attachments and Mailing Instruction. Mail the completed return
and all required attachments to Comptroller of Maryland, Revenue
Administration Division, 110 Carroll Street, Annapolis, MD
21411-0001. Must attach with Form 510C: (1) Form 510C Schedule
A, (2) the PTE’s Form 510 Schedule B, Part I for individual members;
and (3) the members’ Maryland Schedule K-1 (510/511) issued
by the PTE.
Extension of Time to File. Use Form EL102B to file an extension and
make payment.
Amended Returns. If filing an amended return, check the Amended
Return box on page 1 of Form 510C.
Privacy Act Information. The Tax-General Article of the Annotated
Code of Maryland authorizes the Comptroller of Maryland to request

MARYLAND
FORM

510C

COMPOSITE PASS-THROUGH
ENTITY INCOME TAX
RETURN INSTRUCTIONS

information on tax returns to administer the income tax laws of
Maryland, including determination and collection of correct taxes.
Code Section 10-804 provides that you must include your Social
Security Number on the return you file. This is so we know who you
are and can process your return. If you fail to provide all or part of the
requested information, then applicable exemptions, credits, deductions
or adjustments may be disallowed and you may owe more tax. In
addition, the law provides penalties for failing to supply information
required by law or regulations. You may look at any records held
by the Comptroller of Maryland which contain personal information
about you. You may inspect such records, and you have certain
rights to amend or correct them. As authorized by law, information
furnished to the Comptroller of Maryland may be given to the United
States Internal Revenue Service, a proper official of any state that
exchanges tax information with Maryland and to an officer of this State
having a right to the information in that officer’s official capacity. The
information may be obtained in accordance with a proper legislative
or judicial order.

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2023