Keep your business in Good Standing by completing the required annual filings.

In order to maintain Good Standing status, it is important that you file required annual reports and maintain compliance with any applicable Maryland laws. Failing to do so means your entity may be “Not in Good Standing,” which eventually leads to forfeiture. A forfeited entity may not legally conduct business in the state. The cost common reasons that a business is not in good standing are:

  • Failing to file the required Annual Report or Personal Property Tax Return with the Department of Assessments and Taxation. Eligible businesses are now able to file Annual Reports and Personal Property Tax Returns for current and previous years online using Maryland Business Express.
  • Failing to pay a monetary penalty due to the late filing of an Annual Report
  • An issue with the Maryland Office of the Comptroller
  • An issue with the Maryland Department of Labor, Licensing and Regulation, or the relevant licensing and permitting agency
  • A check or other form of payment that was dishonored
  • Not having an active resident agent. Businesses can easily submit a Resolution to change their Resident Agent online using Maryland Business Express.

This status can be returned to Good Standing by addressing the way the business is out of compliance. In many cases, viewing your business on our Business Entity Search will show you why the entity is not in Good Standing. Your entity’s status will be displayed under the “General Information” tab, and the “Personal Property” tab will show you whether you have submitted all required annual filings and if you owe a related late penalty. If action has been taken against your entity by the Maryland Office of the Comptroller; the Maryland Department of Labor, Licensing and Regulation; or another state agency, it will be displayed under the “Filing History” tab and you will need to contact that agency for more information.

Required Annual Filings

All business entities formed, qualified, or registered to do business in Maryland must file an Annual Report every year. If the business can answer “Yes” to either of the following questions, they must also file a Personal Property Tax Return with their annual report:

  • Does the business own, lease, or use personal property located in Maryland?
  • Does the business maintain a trader’s license with a local unit of government in Maryland?

All Annual Reports and Personal Property Tax Returns must be submitted by April 15 annually, unless you request an extension here. If you created your business on or after January 1, 2018, you are not required to file an Annual Report or Personal Property Tax Return until April 15, 2019.

How Can I File my Annual Report or Personal Property Tax Return?

The fastest and easiest way is through Maryland Business Express’ award-winning online platform for making annual filings, registering and establishing businesses, and requesting document copies.

However, if you fall into one of the following categories, you will not be able to file your Annual Report and Personal Property Tax Return online. You will need to download and complete the appropriate Annual Report and/or Personal Property Tax Return.

  • Government Entity;
  • General Partnership;
  • Credit Union, Financial Institution, Bank, Savings Bank, Savings & Loan, and Trust Companies;
  • Co-operative (non-stock);
  • Rental Property in Worcester County (unincorporated);
  • Public Utility; or
  • Cable Company.

In addition, if your business is not in good standing because it has been dissolved, merged, or consolidated, you also will not be able to file your Annual Report and Personal Property Tax Return online. You will need to download and complete the appropriate form here.

Maryland Business Express has been recently updated to allow online filing of up to 10 years of overdue Annual Reports and Personal Property Tax Returns. Businesses that are forfeited or not in good standing (other than dissolved, merged, or consolidated) are eligible to file, provided that they do not fall into the categories listed below:

  • Government Entity;
  • General Partnership;
  • Credit Union, Financial Institution, Bank, Savings Bank, Savings & Loan, and Trust Companies;
  • Co-operative (Nonstock);
  • Rental Property in Worcester County (Unincorporated);
  • Public Utility;
  • Cable company; or
  • Foreign Entities (Entities formed in a state other than Maryland).

Business Not in Good Standing

A business that is not in “Good Standing” is a business that is not in compliance with one or more Maryland laws that apply to businesses and their responsibilities in this state. The status can be returned to Good Standing by addressing the way the business is out of compliance.

The most common reasons that a business is not in good standing are:

  • A missing Annual Report and/or Personal Property Tax Return. Eligible businesses are now able to file Annual Reports and Personal Property Tax Returns for current and previous years online using Maryland Business Express;
  • A monetary penalty resulting from the late filing of an Annual Report or Personal Property Tax Return;
  • An issue with the Maryland Office of the Comptroller;
  • An issue with the Maryland Department of Labor, Licensing and Regulation;
  • A check or other form of payment that was dishonored; or
  • Not having an active resident agent. Businesses can easily submit a Resolution to change their Resident Agent online using Maryland Business Express.
State Department of Assessments and Taxation
301 West Preston Street
Baltimore, Maryland 21201-2395
410-767-1184
Maryland Office of the Comptroller
410-260-7980
Maryland Department of Labor, Licensing and Regulation
410-767-2741