MD State Tax Law

General Real Estate Investing
1

Hi:

Does anyone know exactly when the Feds started to share audit information with the state?

Also, if you were audited by the feds in 2002, can the state send you a tax bill in December of 2007 and charge interest dating back to 2002?

Thanks in advance.

dlmcgill

2

I am guessing you had not been paying MD state income taxes on your real estate activity in MD. Perhaps you are an out of state investor.

Just trying to figure out why MD is billing you back to 2002.

3

I was audited by the feds and my federal return was adjusted for 2002. I guess my state return was suppose to be adjusted as well but my tax preparer neglected to inform me and now the state is just now auditing me.

I owe 2k but with the 1200 in interest takes it to 3k plus change.

The interest dates back to 2002 (the year I was audited by the feds). How unfair that they are charging so much interest.