Are digital goods taxable in Maryland?
Yes, at 6% for every buyer. Maryland digital products, including downloads, data purchases and software licenses, take the full 6% rate with no business split.
| Short answer | Taxable at 6% |
|---|---|
| Authority | Md. Code, Tax-Gen. §11-104(l)(1) |
| Last reviewed | 2026-08-22 |
Why
Maryland's reduced 3% rate under Tax-Gen. §11-104(l)(1) applies to data and IT services. Digital goods are not services, so they are taxed at 6% whoever buys them.
Business vs. consumer buyers
No split: digital goods are 6% for business and consumer buyers alike.
Where the line is
- A service delivered alongside a download can carry the 3% data and IT services rate instead.
How AgentTax classifies digital goods
Downloads the buyer keeps: e-books, music, video, data files and other digital products transferred electronically. AgentTax routes downloads and data purchases to its digital good category.
Run a Maryland sale through the AgentTax engine and get the amount, the rate it used and the statute behind it. No signup needed.
Open the calculatorFrequently asked questions
- Do businesses pay a lower rate on digital products in Maryland?
- No. Digital goods are 6% for every buyer. The 3% rate is for data and IT services.
Related
- All Maryland digital tax answers
- Is SaaS taxable in Maryland? (full guide)
- Is data processing taxable in Maryland?
- Are information services taxable in Maryland?
- Is digital advertising taxable in Maryland?
- Digital goods: every state we cover
- Are digital goods taxable in Arkansas?
- Are digital goods taxable in Georgia?
- Are digital goods taxable in Idaho?
- Are digital goods taxable in Indiana?
- Are digital goods taxable in Iowa?
- Are digital goods taxable in Kansas?
Sources
- Md. Code, Tax-Gen. §11-104(l)(1)
- Comptroller of Maryland Technical Bulletin No. 56
This page is for informational purposes only and is not tax, legal, or accounting advice. It reflects AgentTax's current interpretation of evolving law, which can change. Consult a qualified tax professional before making compliance decisions. Positions on this page come from the AgentTax tax policy registry (v1.24.0); see our methodology.