Md. Code Regs. 03.04.02.16

Current through Register Vol. 51, No. 24, December 2, 2024

Section 03.04.02.16 - Limitation for Resident

A. An individual shall itemize deductions on the individual's federal income tax return in order to elect to itemize deductions on the individual's State income tax return.

B. An individual who does not elect to itemize deductions may claim the standard deduction.

C. Resident with Nonresident Spouse.

(1) If a married couple files a joint federal income tax return but elect to file separate income tax returns pursuant to Regulation .02 of this chapter, or if the nonresident spouse is not required to file an income tax return, then the resident individual may, unless the Comptroller requires or allows another method:

(a) Claim the standard deduction;

(b) Claim:

(i) Only the individual's federal itemized deductions, from among those deductions claimed on the federal return, as limited under Tax-General Article, §10-218(b), Annotated Code of Maryland, that are attributable exclusively to the individual; and

(ii) From among those federal itemized deductions of the individual not claimed under §C(1)(b)(i) of this regulation, a prorated amount of the itemized deductions in accordance with §C(1)(c) of this regulation; or

(c) Claim a prorated amount of the itemized deductions claimed on the federal income tax return by using a fraction, the:

(i) Numerator of which is the individual's Maryland adjusted gross income; and

(ii) Denominator of which is the married couple's joint federal adjusted gross income.

(2) For purposes of allocating itemized deductions under §C(1)(b)(i) of this regulation, "attributable exclusively" means that:

(a) The individual is solely responsible for the payment of an expense claimed as an itemized deduction, including compliance with a valid court order or separation agreement; or

(b) The individual jointly responsible for the payment of an expense claimed as an itemized deduction can demonstrate payment of the full amount of the itemized deduction with funds that are not attributable, in whole or in part, to the other jointly responsible individual.

Md. Code Regs. 03.04.02.16

Regulation .16 adopted effective April 25, 2005 (32:8 Md. R. 741)
Regulation .16C amended effective 41:6 Md. R. 377, eff.3/31/2014