Purpose

To inform agencies of a change in the Maine income tax withholding rate.

Affected Employees

Employees who live and work in the State of Maine

Background

The following changes have been made to the Maine income tax withholding rate, effective July 28, 2017:

Income Tax Surcharge: Removed for individuals with income greater than $200,000.
Single Standard Deductions: Changed from $8,750 to $11,600.
Married Standard Deduction: Changed from $20,350 to $23,200.

There is no change to the Supplemental Wage Rate.

This information can be found in the Maine Revenue Services Withholding Tables for Individual Income Tax booklet.

Effective Date(s)

Institution paychecks dated August 17, 2017
Administration paychecks dated August 23, 2017

Agency Actions

Notify affected employees.

OSC Actions

OSC will update the Maine withholding tax table with the new amounts.

Questions

Questions regarding this bulletin may be emailed to the Tax and Compliance Mailbox.