Legal Question in Business Law in Maryland

You will have to pay income tax on your earnings as a MD resident. The LLC must issue you a K-1 partnership statement each year as part of its federal filing (IRS Form 1065) which you declare on your federal Schedule E. That becomes part of your adjusted gross income which is then reported on your MD return. You should also register as a foreign-based LLC in MD with the State Dept. of Assessments and Taxation in Baltimore, and name a resident agent (presumably yourself). That essentially becomes your "business license".

As another attorney noted, you will need to register in Maryland as a foreign entity if you are doing business in this state. An LLC has three different options for taxation. If you have more than one owner and elect a "disregarded" tax status, then you would do the K-1s as the other post mentions. However, depending on your tax election you might instead file corporate returns or have a Schedule C to attach to your personal return.

Depending on what your technology consulting offers, you may possibly need to register for a sales tax account and vendor license (for instance, if you would sell clients computer systems or hardware).

Depending on your location in MD, you may possibly need to register your business as a home-based business with the county (while not necessary in most areas for a consulting business, some Maryland counties have registration requirements).

If you have not already formed a DE entity you may want to consider whether the cost of forming your entity there and maintaining necessary filings in both states makes sense. You are welcome to call my law firm at 410-216-7000 (the firm offers a free 10 min initial phone consult for new business matters) or you may wish to contact another MD licensed attorney to help get your new business in this state off to a great start!