Why Is My Maryland Tax Refund Taking So Long?

The wait for a Maryland state tax refund can be frustrating, especially when bills are due or you’re counting on the funds for a big purchase. While the Comptroller of the Treasury aims for efficiency, several factors—some related to how you file, and others related to the state's operations—can significantly prolong the wait time.

Here are the primary reasons your Maryland tax refund may be taking longer than expected.

Filing Method: Paper vs. Electronic

The most substantial factor influencing your wait is your filing method:

• Paper Returns: These returns take the longest. The Comptroller's office must manually handle, open, sort, and input the data from every paper form. This process is time-consuming and prone to delays, especially during peak tax season. The state generally advises paper filers to expect a processing time of 30 days or longer.
• Electronic Filing (E-File): This is the fastest route, with refunds typically arriving in 2 to 4 weeks when direct deposit is selected. If you e-filed but opted for a paper check, the refund will still be delayed by postal delivery time.

Fraud and Error Flags

Maryland, like the IRS, has robust systems in place to combat tax fraud. If your return triggers a flag for review, the process is immediately slowed down:

• Security and Fraud Review: Returns with unusual claims (such as high or unusual deductions/credits) or inconsistencies may be flagged for additional manual verification by the Questionable Return Detection Team (QRDT). This necessary process can add several weeks to the processing time.
• Errors on the Return: Simple mistakes are a major cause of delays. These include transposed Social Security Numbers (SSN), incorrect bank routing information for direct deposit, calculation errors, or incomplete forms. Any error halts automated processing and kicks the return into a manual review queue.

System Modernization and Backlogs

In recent years, the Comptroller's office has been working on modernizing its systems, such as the introduction of the Maryland Tax Connect portal. While this is intended to improve long-term efficiency, the launch and integration of new technology can sometimes lead to temporary backlogs or system shutdowns, slowing down the processing queue for a period.

What You Can Do

To speed up future refunds, always choose to e-file and select direct deposit.

If your refund is currently delayed, you should check the status using the Comptroller’s official "Want To Check On Your Current Year Refund?" tool. Be aware that paper returns may not show up in the system for at least 30 days after mailing, and you should wait at least 10 days from the acceptance of an e-filed return before contacting the Taxpayer Services Division.

If your Maryland refund is stuck in limbo and you’re not getting clear answers from the state — Watter CPA can step in to review your return, spot potential issues and help you move the process forward with confidence. Reach out to our dedicated team today for 360-degree support.

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