# MD Insurance Bulletin 00-10: Estimated Premium Tax Filing

> Maryland · Agency guidance · In force

URL: https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-10

## Section

- **Citation:** MD Insurance Bulletin 00-10
- **Heading:** Estimated Premium Tax Filing
- **Jurisdiction:** Maryland
- **Kind:** Agency guidance
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Maryland Insurance Administration Bulletins / Estimated Premium Tax Filing

## Text

Bulletin No. 00-10
TO:
All Insurers
RE:
Estimated Premium Tax Filing
DATE:
March 29, 2000
Some insurers have in the past substantially underpaid their quarterly premium tax for
premiums written in Maryland. This has occurred because some insurers have mistakenly believed
that estimated premium taxes are to be estimated quarterly. Under Maryland law, however, insurers
are required to estimate their annual tax liability and pay 25% of the annual estimate each quarter.
In addition, some insurers have greatly underestimated their annual tax liability and have
accordingly underpaid on a quarterly basis.
Maryland statutes impose substantial interest and penalties where premium taxes are not paid
when due. It is this Administration’s view that the underestimation of annual taxes, and the
corresponding failure to pay 25% of the liability each quarter, constitutes a failure to pay taxes when
due.
In order to avoid the imposition of penalties and interest, insurers must reasonably estimate
their total tax liability for the coming year and pay 25% of that reasonable estimate each quarter. The
Insurance Commissioner considers, as reasonable, any estimate that is at least:
(a) 100% of premium taxes due for the prior year as shown on the prior year’s
Final Report; or
(b) 90% of the amount of the current year tax liability.
If the estimated tax meets either of these tests and the insurer pays at least 25% of the total
annual estimate each quarter, on April 15, June 15, September 15, December 15, no penalty or interest
will be imposed. In the event an insurer’s estimated annual tax does not meet either of these tests or if
the insurer fails to pay the proper quarterly payment when due, the Administration will impose
penalties and interest pursuant to MD. CODE ANN., Insurance § 6-108.
Insurers are directed to conform their April 15, 2000 tax filing to this Bulletin.
___________________
Steven B. Larsen
Insurance Commissioner

## Nearby sections

- [MD Insurance Bulletin 00-01 Offer of Standard Plan and Additional Benefits](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-01.md)
- [MD Insurance Bulletin 00-02 Risk Based Capital Reporting Requirement](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-02.md)
- [MD Insurance Bulletin 00-03 Revision to Regulation--Limitation on Implementing Rate Increases](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-03.md)
- [MD Insurance Bulletin 00-04 Rescission of MIA position as stated in Wickenden Letter](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-04.md)
- [MD Insurance Bulletin 00-06 Revised Procedures for the Calculation of Filing Fees for Form Filings](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-06.md)
- [MD Insurance Bulletin 00-07 Life, Accident and Health Insurers Required Filings Checklist](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-07.md)
- [MD Insurance Bulletin 00-09 Contract Filings 00-9](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-09.md)
- [MD Insurance Bulletin 00-10 Estimated Premium Tax Filing](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-10.md)
- [MD Insurance Bulletin 00-11 Utilization Review Criteria & Standards Disclosure to Providers](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-11.md)
- [MD Insurance Bulletin 00-12 Revised Definition of Small Employer](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-12.md)
- [MD Insurance Bulletin 00-12-B Small Employer Groups: Revised Rules for Eligibility and Group Size](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-12-B.md)
- [MD Insurance Bulletin 00-13 Regulation of DownStream Risk](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-13.md)
- [MD Insurance Bulletin 00-14 Reduction of Benefits for Medicare Eligible Employees](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-14.md)
- [MD Insurance Bulletin 00-16 NAIC Codification of Statutory Accounting Principles](https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-16.md)

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/MD_INS_B_00-10. Check the current official text before relying on it. Not legal advice.